The Financial Comet
  • Business
  • World News
  • Politics
  • Investing
  • Business
  • World News
  • Politics
  • Investing

The Financial Comet

Investing

Gold Price Dips, Markets Stay Flat as Fed Leaves Rates Unchanged​

by admin May 8, 2025
May 8, 2025
Gold Price Dips, Markets Stay Flat as Fed Leaves Rates Unchanged​

The US Federal Reserve held its third meeting of 2025 from Tuesday (May 6) to Wednesday (May 7) against a backdrop of trade tensions, spurred on by the Trump administration’s tariffs.

The central bank met analysts’ expectations by holding its benchmark rate in the 4.25 to 4.5 percent range.

Chair Jerome Powell said the Fed’s dual mandate of maximum employment and stable pricing remains in balance, and noted that the US economy is solid. However, he also said that risks have risen and that there has been a sharp decline in consumer and expert sentiment due to the ongoing tariff situation.

The US has placed tariffs on key trading partners Canada, Mexico and the EU. It has also implemented 145 percent tariffs on China, while planning port fees of up to US$3 million per US port call for all Chinese-built ships.

Tariffs are already beginning to dramatically reduce imports into the US.

Activity at the Port of Los Angeles has fallen by 44 percent this week compared to last year. The Port of Seattle has also seen a 40 percent reduction, leading to warnings of empty store shelves and job losses.

The story was different in Q1 — Powell noted that imports spiked during the period as businesses attempted to make moves ahead of tariffs. That had an impact on GDP, which contracted by 0.3 percent in the first quarter.

Powell suggested tariff announcements have been larger than anticipated, also noting that uncertainty is elevated and that downside risks have risen, but have not materialized. Ultimately, this uncertainty led the FOMC to unanimously vote to leave rates at the current level while waiting for more clarity from future data.

“The labor market is solid, inflation is low — we can afford to be patient as things unfold. There is no real cost to our waiting at this point,” Powell said. The Fed’s next meeting is scheduled for June 17 to 18.

Following the Fed’s announcement, the gold price fell from session highs in the US$3,400 per ounce range to reach US$3,371.86. The silver price declined for most of the morning, trading at US$32.28 per ounce at 3:30 PM EST.

The S&P 500 (INDEXSP:INX) was flat, recording a 0.17 percent decline to 5,599. The Nasdaq-100 (INDEXNASDAQ:NDX) fell 0.2 percent to 19,751, and the Dow Jones Industrial Average (INDEXDJX:.DJI) rose 0.32 percent to 41,950.

Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.

Keep reading…Show less

This post appeared first on investingnews.com

previous post
Significant intercepts of gold and copper show Golden Eye emerging as a highly promising new resource prospect
next post
Lone Republican becomes only lawmaker to vote against crackdown on human organ trafficking

Related Posts

Fabi Lara: Uranium Thesis is Back, How to...

January 29, 2025

Lithium Universe LtdBecancour Lithium Refinery Definitive Feasibility Study

February 18, 2025

NorthStar Gaming Announces Revocation of Management Cease Trade...

May 21, 2025

Forum Energy Metals and Global Uranium Announce Exploration...

January 31, 2025

Thick High-Grade Graphite Drilling Results In New Zone

May 23, 2025

Appendix 4D and Half Yearly Accounts

February 27, 2025

BPH Energy LimitedPEP11 Update Federal Court Judicial Review

February 13, 2025

Bold Ventures

June 14, 2025

Noble Minerals Acquires Uranium-Molybdenum Property in Northern Quebec

January 31, 2025

Ignite Investment Summit Hong Kong Presentation

March 27, 2025

    Join our mailing list to get access to special deals, promotions, and insider information. Your exclusive benefits await! Enjoy personalized recommendations, first dibs on sales, and members-only content that makes you feel like a true VIP. Sign up now and start saving!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Editors’ Picks

    • 1

      Trump re-designates Iranian-backed Houthis as terrorists: ‘Threaten[s] security of American civilians’

      January 23, 2025
    • 2

      DeepSeek hit with large-scale cyberattack, says it’s limiting registrations

      January 28, 2025
    • 3

      Bank of America CEO says financial industry will jump into crypto payments if regulators allow it

      January 23, 2025
    • 4

      FDA officially authorizes Zyn nicotine pouches for sale following health review

      January 23, 2025
    • 5

      Universal’s ‘Wicked: For Good’ creates a unique marketing challenge

      January 27, 2025
    • 6

      UnitedHealthcare taps company veteran Tim Noel as new CEO following Brian Thompson killing

      January 27, 2025
    • 7

      Lara Trump to host weekend show on Fox News

      February 7, 2025
    • About us
    • Contacts
    • Privacy Policy
    • Terms and Conditions
    • Email Whitelisting

    Disclaimer: thefinancialcomet.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 thefinancialcomet.com | All Rights Reserved