Fed rate cut hopes fade, USD rises above 100, gold drops 1.5% below $4000.

On Tuesday, due to internal disagreements within the Federal Reserve, doubts arose about the prospect of another interest rate cut this year. The US dollar index continued to rise and broke through the 100 mark, reaching a new high in three months, ultimately closing up 0.33% at 100.18. The benchmark 10-year Treasury yield ultimately closed at 4.090%, while the 2-year Treasury yield sensitive to the Federal Reserve policy rate closed at 3.586%. On Tuesday (November 4th), spot gold fluctuated and fell 1.7%, closing at $3931.78 per ounce. Internal disagreements among Federal Reserve officials intensified, and market expectations of a Fed rate cut in December cooled, helping the US dollar index rise above the 100 mark and break a three-month high, significantly suppressing gold prices. However, the hidden worries of the US stock market foam and the longest suspension in the history of the US government still provide safe haven support for the gold price. In the short term, gold bears have a slight advantage, and gold prices face further downside risks in the short term. However, if the ADP private employment data explodes on Wednesday, gold prices may experience a dramatic reversal. Due to weak manufacturing data and the strengthening of the US dollar suppressing demand, crude oil fell slightly. WTI crude oil fluctuated widely around $60 and ultimately closed down 0.94% at $60.25 per barrel; Brent crude oil ultimately closed down 0.82% at $64.13 per barrel.