The Gold Hawk Perspective (Bearish on Rate Cuts, Bullish on Gold)
With Nonfarm Payrolls beating expectations, the labor market is clearly holding up much better than a lot of people anticipated. Now, with CPI inflation data right around the corner, everyone is asking the same question: will the Federal Reserve hold rates or push for another hike?
Honestly, I think a rate hike is back on the table if CPI comes in hotter than expected, but a prolonged hold is the most likely scenario. Either way, the "easy money" policy standard is not returning anytime soon.
Because of this sticky inflation setup, I’m leaning bullish on Gold right now. When central banks stayhawkish while inflation remains persistent, physical assets and precious metals tend to act as the ultimate hedge. I’ve recently added to my long gold position to balance out my portfolio ahead of the print. If CPI surges, paper assets might see a quick sell-off, but gold should hold strong.
What’s your play going into the release? Are you holding cash or taking a side? #CPIWatch
With Nonfarm Payrolls beating expectations, the labor market is clearly holding up much better than a lot of people anticipated. Now, with CPI inflation data right around the corner, everyone is asking the same question: will the Federal Reserve hold rates or push for another hike?
Honestly, I think a rate hike is back on the table if CPI comes in hotter than expected, but a prolonged hold is the most likely scenario. Either way, the "easy money" policy standard is not returning anytime soon.
Because of this sticky inflation setup, I’m leaning bullish on Gold right now. When central banks stayhawkish while inflation remains persistent, physical assets and precious metals tend to act as the ultimate hedge. I’ve recently added to my long gold position to balance out my portfolio ahead of the print. If CPI surges, paper assets might see a quick sell-off, but gold should hold strong.
What’s your play going into the release? Are you holding cash or taking a side? #CPIWatch