Gold Tumbles as Powell's Inflation Concerns Dash Easing Bets

• Gold declined for a sixth consecutive day, its longest losing streak since late 2024, following Federal Reserve Chair Jerome Powell's remarks on rising inflation.
• Powell indicated that higher energy prices would elevate overall inflation, and emphasized the importance of maintaining mildly restrictive interest rates.
• Traders scaled back expectations for a rate reduction this year, causing bullion to drop 3% as it's priced in US currency and typically thrives in lower-rate environments.
• The Fed kept interest rates unchanged, forecasting one rate cut this year, acknowledging increased uncertainty due to the Middle East conflict.
• Despite recent declines, gold is still up over 10% this year, supported by geopolitical risks and threats to the Fed's independence.