Gold Surges to Two-Month High as US Inflation Data Eases Rate-Hike Bets
Markets reacted to softer-than-feared US inflation data on Wednesday, sending gold prices to a two-month high. Spot gold rose 1% to $4,412.68 per ounce after earlier touching its strongest level since June 5.
The inflation report, which matched economists' forecasts of a 0.1% month-over-month increase and a 3.4% annual rise, reduced the probability of a September rate hike to around 40%, according to CME FedWatch data.
Meanwhile, Bitcoin weakened despite easing rate-hike bets, trading below $63,300. Analyst Rekt Capital warned that repeated rebounds from the $63,000 level have continued to weaken.
Super Micro Computer shares jumped 19% after delivering stronger-than-expected earnings and an upbeat outlook. Revenue nearly doubled to $11.1 billion from a year earlier, although it narrowly missed analyst estimates.
SpaceX shares rebounded around 9% after CEO Elon Musk outlined ambitious plans for the company's AI business, which he believes could soon become its largest source of revenue.