The US core PCE price index rose 0.2% month-on-month in July and 3.3% year-on-year, both in line with expectations. Real personal consumption spending was flat month-on-month, showing an economic cooling that supports a pause in Federal Reserve rate hikes, though inflationary pressure has not fully faded. Driven by falling Treasury yields, a weaker dollar and fiscal concerns, gold prices topped 5,000 US dollars an ounce intraday on August 26, hitting a record high. Industrial Securities believes gold could break above 5,000 US dollars this year, while Caitong Securities is bullish on central bank gold buying and lower real rates supporting prices. Bosera Gold ETF has seen net inflows for four consecutive days, attracting a combined 164 million yuan, with average daily net inflows of 40.92 million yuan.
PCE in line with expectations supports Fed pause, Treasury yields fall
Caitong Securities Co LtdCaitong Securities bullish on gold due to central bank buying and lower real rates
Industrial Securities Co LtdIndustrial Securities sees gold breaking above $5,000 this year
Cofco Biochemical Anhui Co Ltd