Research

Did Fed Just Pivot? Dovish. Positive Signal For Gold.

market-avatar

Algo Research Team

Market | May 03, 2024 | Views: 1071

The content provided here is for informational purpose only. It is not an advise or recommendation. Please do your own research.
content-img

Key Summary:

  • Fed is doing QE and QT simultaneously
  • Slower balance sheet reduction (QT taper)
  • Short-term correction, but remain positive on gold

Ignore what they say, follow what they do. This has been our thinking about the Fed as they have been making errors and changing policy outlook too quickly (incorrect transitory view in 2022, hawkish/dovish flip-flop in a matter of days in 4Q23).


Thus, the only thing that matters is what they do, where the latest FOMC meeting was dovish. How so?

How was our research?

DISCLAIMER: Algo is an independent research platform and is not affiliated with any financial institution. We are not a licensed securities dealer, financial advisor, broker, or investment bank. The contents shared across our website, and social media platforms are intended for informational purposes only and reflect our views and opinions. It is not meant to be construed as financial advice and/or a recommendation to buy or sell an asset. Past performance does not guarantee future results. As a research platform, our contents are made to provide data-driven information and research-based articles, and should not be used as a basis for making any investment decisions. We strongly encourage you to conduct your own research and consult with a licensed financial advisor before making any investment decisions. Algo is not regulated by OJK (Otoritas Jasa Keuangan) and does not provide any investment services. We are not responsible for any financial decisions you make based on the information provided. All content is presented with the intent of informing only.