Minsheng Securities: Gold Prices Reach New Highs as Fed Rate Cuts Loom

According to a research report from Minsheng Securities, the Federal Reserve's imminent rate cut has contributed to gold prices hitting new highs. The report suggests that in the medium to long term, the weakening credit of the U.S. dollar will continue to push gold prices upward.Recent economic data indicates that the U.S. Consumer Price Index (CPI) rose 2.5% year-on-year in August, with core CPI up 3.2%, aligning with market expectations. However, the month-on-month rise of 0.3% exceeded forecasts of 0.2%.Despite a weaker-than-expected performance in the August non-farm employment data and downward revisions to June and July figures, the interest rate cut is anticipated, and Minsheng Securities remains optimistic about the long-term bullish prospects for gold prices.