Invesco: Gold Prices Fed Rate Cuts Risk, But Not Long-Term Real Yields on June 26

According to Jin10, on June 26, following the release of U.S. inflation data, bond traders reduced expectations for Federal Reserve rate hikes this year, with the probability of a rate increase in July falling to approximately one-third. Invesco market strategist David Chao noted that while gold has largely priced in the risk of further Fed tightening, it has yet to price in the persistent "elevated real yield" environment. The continued tightening bias remains a headwind for gold relative to yield-bearing assets such as Treasury bonds.
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