Gold near 3-week peak on downbeat Fed, palladium at record high

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Gold near 3-week peak on downbeat Fed, palladium at record high

On Thursday, the 21st of March 2019, spot gold price rose, hovering close to a three-week high after US Federal Reserve had ruled out any possibility of another interest rate hike this year and slashed US growth, inflation and employment forecast.

Besides, a recent round of garrulous turbulence had been looming uncertainties over the fate of trade talk, while the safe-have appeal of gold rose, and Palladium had also phased a record peak amid an ongoing supply issue.

Spot gold gained more than 0.3 percent to $1315.81 an ounce, after breaching its highest level since February 28th at $1316.56 per ounce, while the Spot palladium prices rose 0.4 percent to $1609.70 per ounce after scaling a record high of $1651.5 earlier on the session, while analysts were expecting further upbeat momentum from safe-haven assets like gold and palladium.

The American dollar posted heavy losses after Federal Reserve had made an entire U-turn on Wednesday (March 20th), saying that there would not be any rate hike this year and the rate would likely to stay between 2.25-2.5 percent, signaling an interest rate cut in a near-term outlook amid an imminent recession risk and economic slowdown, as the US economy had already started to show signs of contraction similar to China, UK and Germany.