Gold achieved another new milestone, trading above the prior all-time high of $2431, but immediately withdrew back beneath the prior high as Fed speakers warned that rate cuts are still some way down the road from here.
Atlanta Fed President Raphael Bostic recounted the hot inflationary pressures of Q1 reiterating that there is still some work to do, but ultimately he sees inflation continuing to ease into 2025. Governor Michael Barr drove home the same points while Governor Philip Jefferson commented that the softer inflation print in April is encouraging. In summary, the tone reflected a preference to keep interest rates elevated until the committee can comfortably say the general level of prices is heading back to the target.
