Tag Archive: GDP growth

Gold Higher as GDP Disappoints

The gold market is moving higher again on Friday, touching a six week high. The latest reading of Q2 GDP was released early this morning, and showed a growth rate of 2.6%. Some estimates were looking for a reading of 2.7% following a very lackluster first quarter growth rate of just 1.4%. This report would seemingly add fuel to the dovish camp regarding monetary policy, and may act as yet another reason for the Fed to keep rates relatively low. The Fed has tried to... Continue Reading

Will the Consumer Sink the Ship?

It’s no secret that first quarter growth was lousy. Many analysts, however, see the economy bouncing back in the second quarter. If the Fed plans to stay on its current course of rate hikes (which it appears to be doing), the central bank must also assume that economic activity will be stronger in Q2. What if these assumptions prove to be false? Q1 GDP came in at a skinny rate of just .7%, and estimates appear to be looking for growth of around 2.5% in... Continue Reading

Could The Fed Be Stuck Between a Rock and a Hard Place?

The notion of additional interest rate hikes from the Federal Reserve has certainly weighed on the gold market in recent months. On the other hand, however, the pace and timing of any additional rate hikes remains likely to be slow and incremental, which could be considered bullish for gold. This week could potentially provide some very good clues as to the central bank’s plans going forward. Weakness in some key economic data, along with the current geopolitical landscape could potentially give the central bank reason... Continue Reading