Dovish US Fed.. Bearish USD... Bullish Gold… over long run !
(Fed Chairman Powell speaks at Jackson Hole Economic Policy Symposium)
US Inflation target fixed at 2%, with focus on Labour Markets.
Inflation dropped from 2.5% in Jan 2020 to 0.1% in May 2020, increased to 1% in July 2020.
Inflation increase indicates increase in demand, thus increasing employment and running economy.
Interest rates shall be kept near to zero (QE shall be one of prime tools)
PS: It is quite a difficult task for central banks to boost inflation.
This indicates Bearish view for USD and Bullish for Gold over long run.
For detailed understanding on Gold, QE and Interest rates, click here - https://www.risingcurve.info/post/liquidity-the-greatest-showman
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