The Federal Reserve announced its decision to maintain interest rates and indicated it would implement two rate cuts in 2025. This announcement immediately influenced market behavior, especially leading to a decline in the two-year Treasury yield.
Following the Fed’s announcement, gold prices fell 0.4% while platinum prices spiked over 4%, reaching their highest levels since February 2021. Analysts express skepticism about the sustainability of these price movements in precious metals.
Despite the rally in US Treasuries, foreign demand is dropping significantly. There has been a noticeable reduction in foreign holdings, indicating a growing uncertainty about US debt appetite in international markets.
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