Spot gold tracks higher this morning on the back of a softer dollar and a pullback in U.S. Treasury yields. Markets brace themselves for Fed Chair Powell’s re-nomination speech later today where he will surely take the full might of the senate around topics including inflation, labor market and the overblown balance sheet. The manner in which Mr. Powell responds to these questions could hint at the “hawkishness” of the Fed and consequently give markets some directional bias going forward. Balancing both a supportive growth environment while combating inflation is the crux of the matter ad near impossible but a line needs to be drawn at some point.
