Path of Rate Cuts

The market is pricing in rate cuts, which is bullish gold. 

3 rate cuts in 2024

There will be rate cuts.

Central bank rate cuts are bullish gold

The guidance on rate cuts by central banks. 

Rate Cuts

Rate cut expectations.

 

FOMC Meeting: more rate cuts

FOMC says more rate cuts:

Dec-2023:

Sep-2023:

 

The return of the OPEC cut king

1m bbl/d OPEC cut coming will propel gold to $2150/ounce. 

Rate Cuts

Rate cuts are coming.

OPEC oil cut: Insanely bullish

Amrita calls this: "Insanely Bullish!". 

Reaching Global Oil Capacity

If nothing happens on the supply cuts, we will hit global oil capacity in a few months.

Rate Cuts Everywhere

The Fed cut rates on 15 March by 100 basis points to 0%.
The ECB is expected to cut rates this week by 10 basis points (but it ultimately didn't cut rates).
The Bank of England cut rates by 50 basis points to 0.25% (and is expected to cut some more).
The Bank of Canada cut rates on 13 March by 50 basis points to 0.75% and cut it again on 27 March by 50 basis points to 0.2%.
The Bank of New Zealand cut rates on 15 March by 75 basis points to 0.25%.

This can only be good for gold.

https://finance.yahoo.com/news/goldman-sachs-now-sees-fed-140305267.html
https://www.fxstreet.com/news/ecb-deposit-rate-to-be-cut-by-10bp-abn-amro-202003100946

Fed cuts rate by 50 basis points

Gold is soaring.

Fed Rate Cut is 100% Locked In

When we check the 2 year bond yield, we can be 100% sure that the Fed will cut rates in March 2020. Remember what happened in 2019 when the Fed cut rates? Gold went from $1300/ounce to $1600/ounce. I expect this to happen again, learn from history.

Rabobank Expects Recession This Year 2020

The Fed will cut rates to 0% this year.

 

Federal Reserve cuts rates by 0.25%

Fed cuts rates to 1.75%, more to come later this year. Dot plot is also lowered.

 

ECB prepares for QE and rate cuts

Next week, on 12th September, the ECB will cut rates to -0.5% and initiate QE.

 

Expect more pain for the European banks. Expect more negative rated bonds and expect higher gold prices.