The spot price of gold rose to $2,570 shortly after noon (Eastern Time) on Wednesday, falling slightly below that level after the U.S. Federal Reserve cut interest rates by 50 basis points.

“For the gold price to rise after the Fed meeting and reach new all-time highs, the key interest rate would have to be cut by 50 basis points today and, in addition, further substantial interest rate cuts would have to be signaled very clearly,” said Commerzbank in a statement ahead of the meeting.

“I think it’s all just based on the expectation of a Fed rate cut. Gold prices are also supported by events in the Middle East,” said Daniel Pavilonis, chief market strategist at RJO Futures, in a Reuters report.

According to Dow Jones Market Data, the price of gold futures for the front month of September was up 2.83 percent month-on-month through Tuesday, while for the year it was up $501.90, or 24.34 percent. On Tuesday, the price was at $2,564, the third-highest closing price ever, after falling on the previous two trading days.

The SPDR Gold Trust, the largest ETF backed by physical gold, has risen over 23 percent this year, outperforming the S&P 500’s 18 percent gain.

Reuters contributed to this report.

Consumers looking to buy a new or used car can expect better financing options after the Federal Reserve cut interest rates by an expected 50 basis points. Still, those looking for a new car could experience a price shock.

A new report from car buying guide Edmunds shows that potential car buyers can expect an unpleasant surprise when financing their next car.

According to the report, three-quarters of used car buyers aim for an interest rate between 0 and 5 percent, but six in 10 car buyers who financed the purchase of a used car in July ended up paying an interest rate between 6 and 11 percent.

The study also found that both new and used car prices at dealerships today are significantly higher than buyers’ spending plans.

Overall car affordability is not expected to improve any time soon, as car insurance and maintenance costs continue to skyrocket.

U.S. stocks rallied after the Federal Reserve cut interest rates by 50 basis points, a move seen as bold by investors. The Nasdaq Composite led gains in the broader market but eased after Chairman Jerome Powell’s press conference.

Powell said in his 2:30 p.m. press conference that the overall health of the economy, which has been marred by persistent inflation, is solid and he does not believe a recession is in sight.

The US Federal Reserve cut its key interest rate by 50 basis points. This is seen as a more aggressive step to support the US economy.

The real estate market continues to stagnate as many potential buyers and sellers wait to make a move until mortgage interest rates, which have been high for years, drop significantly.

Mortgage rates have started to fall, falling to their lowest level in more than 18 months last week. The average rate on 30-year fixed-rate bonds fell to 6.20 percent. But will it matter if the Federal Reserve cuts rates by 25 or 50 basis points?

Although the federal funds rate is not what consumers pay directly, it affects the cost of borrowing for home equity loans, auto loans, and credit cards. Mortgage rates are also affected by fluctuations in the yield on 10-year U.S. Treasury bonds.

According to a survey by Zillow, about 80% of mortgage holders currently have interest rates below 5%.

If the Fed cuts interest rates on Wednesday as expected, rates are unlikely to fall enough to provide real relief to potential homebuyers.

Afifa Saburi, capital markets analyst at Veterans United Home Loans, recently told FOX Business that even with a cut, “the potential savings for a prospective homebuyer hoping for a rate cut this year are small.”

When the Federal Reserve cuts the federal funds rate by 25 or 50 basis points, it affects the interest you pay on your credit card.

However, neither step will make much difference to your end result.

Bitcoin is trading just below $60,000 after gaining over 120% since its 52-week low of $26,240.89 on September 27, 2023.

Supporting cryptocurrencies has become a hot campaign issue after former President Trump recently launched his company World Liberty Financial.

However, the feedback on this project is gloomy.

At the end of the US Federal Reserve’s two-day meeting on Wednesday, policymakers are likely to take action and cut interest rates for the first time since March 2020.

This move will pave the way for a new era of policy that will impact millions of Americans and their payments on personal loans, mortgages, credit cards and other lending options.

Senator Elizabeth Warren (D) of Massachusetts criticized Fed officials for putting the economy at risk ahead of Wednesday’s expected rate cut – a move many fear will come too late.

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