by Craig Hemke
Gold Seek
Much of the talk surrounding gold thus far in 2020 has focused upon geo-political and pandemic risks. While all of this is relevant to price in the short-term, the discussions being held by the Fed’s FOMC this week will have a much more durable impact.
At this point, I wouldn’t expect any change to the Fed Funds rate on Wednesday when the meeting concludes. The Fed just assured us last month that they had “found a stable rate” and that rates should remain unchanged in 2020. Rrrrright…until they lower them again. And this is coming, possibly as soon as the next meeting in March.
And why can we state this with such certainty? Because a barely-noticed trial balloon was floated by The Fed’s friends at the Wall Street Journal last weekend. And if you were busy following other headlines, you may have missed it.