Fed Raises Rates, Warsh Targets Inflation Despite Trump

The Fed's emphasis on raising interest rates and targeting inflation is a negative factor for gold prices in the short term. Although GLD's last close was 4337.885, up 1.27% in 24 hours, the RSI is neutral at 53 and the MACD is below the signal line in negative territory. Trading well below the SMA20 and SMA50 supports a weak technical outlook. A rate hike could increase the opportunity cost of holding gold, creating selling pressure. However, the news impact may be limited, as the market may have largely priced in the rate hike.

The Fed's emphasis on raising interest rates and targeting inflation is a positive short-term signal for the DXY. Technical indicators also support this view: the price is above the SMA20 and SMA50, the RSI at 58 has not approached overbought territory, and the MACD is slightly above the signal line. However, the phrase 'despite Trump' could create political uncertainty and cause fluctuations in the dollar index. In the 1-3 day horizon, an upward movement is more likely, but the 100 level should be watched as resistance.

The Fed's emphasis on raising interest rates and targeting inflation could suppress risk appetite in the short term. The SPX has fallen 0.59% in the last 24 hours to 7617, trading below its SMA50 (7635); MACD is in negative territory but above the signal line, indicating weakening downward momentum. RSI is neutral around 50, with no oversold signal. Although the news flow reflects a hawkish tone on rate hikes, the market may have largely priced this in; therefore, I expect limited downward pressure rather than a sharp decline. Nevertheless, if the 7600 support level is broken, selling could accelerate.

The Fed's emphasis on raising interest rates and combating inflation is a negative factor for risk assets in the short term. NDX has fallen 0.59% in the last 24 hours to 29,206 and is trading below its 50-day simple moving average (29,280), indicating a weak technical picture. However, with an RSI of 53, it is in neutral territory, and although the MACD is negative, it is above the signal line, meaning there is no oversold condition. The rate hike news may already be priced in; therefore, the expectation of a decline is not strong. Nevertheless, inflation-focused messages could increase selling pressure in the short term.