• Gold hit a fresh record Monday on growing optimism the Federal Reserve will cut interest rates in the new year, with traders shrugging off boss Jerome Powell’s attempts to temper expectations.
  • However, equity markets struggled to build on a positive lead from Wall Street, with attention now turning to key US jobs figures due at the end of the week.
  • Stocks have rallied and the dollar has fallen in recent weeks as a string of data has pointed to a softening of the labour market and a slowdown in economic activity, while inflation continues to drop towards the bank’s two percent target.
  • Gold prices jumped to as high as $2,135 at one point Monday as traders flocked into bullion in recent weeks on safe-haven buying as the Israel-Hamas war started.