Gold Opportunity Amidst Fed’s Dilemma: Examining Top Mining Stocks

Following Chair Powell’s speech at the Jackson Hole Economic Policy Symposium, Fed funds futures indicate an 81% probability for a 25 basis point interest rate cut in September. Since December 2022, the federal funds rate has remained above 4%, aiming to curb inflation. However, gold prices have risen despite this hiking cycle, potentially benefiting from its status as a hedge against both economic weakness and inflationary consequences stemming from policies used to fight it. This uncertainty may further benefit gold as investors seek stability in a loosened macro-environment.