Gold (XAUUSD) & Silver Forecast: Markets Brace for FOMC Minutes and Delayed NFP Data
News Summary
Gold and silver have weakened this week due to a stronger U.S. dollar and a cautious stance from the Federal Reserve, diminishing demand for precious metals. Several Fed officials have warned that inflation remains too high, pushing the probability of a 25-basis-point rate cut in December below 50% and consequently pressuring gold for a third consecutive session. Delayed U.S. economic data, especially the October Nonfarm Payrolls report originally scheduled earlier, has further encouraged defensive trading, boosting the dollar and weighing on gold and silver sentiment. Despite some safe-haven demand from ongoing geopolitical tensions, this has not been enough to counteract policy-driven headwinds. Markets are now keenly awaiting the upcoming FOMC Minutes and the delayed Nonfarm Payrolls report for clearer signals on the Fed's policy trajectory.
Background
The current market environment is characterized by uncertainty regarding the Federal Reserve's monetary policy outlook, with persistent high inflation coexisting with concerns over slowing economic growth. In 2025, under President Donald J. Trump's administration, a prior government shutdown led to delays in key U.S. economic data releases, further amplifying market uncertainty. This backdrop has prompted investors to favor the U.S. dollar as a safe-haven asset over traditional precious metals.
In-Depth AI Insights
To what extent do the Fed's hawkish statements reflect genuine intent rather than mere market management? The Federal Reserve officials' persistent emphasis on