Moody, Bond and Debt
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Gold futures posted their second consecutive strong gain on Tuesday, rising 3% in the two days since Moody's downgraded its U.S. credit rating and amplified concerns over the debt and deficit spending.
Gold prices drifted higher on Monday, steered by a softer dollar and safe-haven demand after Moody's downgraded the U.S. government's credit rating. Spot gold rose 0.9% to $3,229.51 an ounce by 1315 ET (1715 GMT).
Gold prices have exhibited volatility amidst global economic uncertainties, including concerns over US trade policies and
"The Moody’s credit downgrade of the U.S. was a major source of uncertainty and investor angst to start the week and subsequently proved to be a bullish influence on gold as safe-haven money flows picked up considerably,
Gold prices rose on Wednesday to their highest levels in a week as the dollar weakened and investors sought safety amid U.S. fiscal uncertainty, with Congress debating a sweeping tax bill.
Gold prices edged higher as investors reacted to a weaker U.S. dollar, upcoming Fed rate decisions, and growing interest in U.S. tariff policy and Russia-Ukraine peace talks. Spot gold rose to $3,236.
Gold price rises as dollar weakens, Moody’s downgrade fuels demand. Traders eye breakout above $3,238 for bullish momentum in XAU/USD.
So, Moody’s downgraded U.S. sovereign credit rating from AAA to AA1, which means that the U.S. debt is no longer top-rated. This was the last of the major agencies to cut this rating. What does it change?