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GOLD VOLATILITY DRIVEN BY CHINESE SPECULATION
Treasury Secretary Scott Bessent said last week’s sharp swings in gold were driven by speculative trading in China, calling it a “classical speculative blowoff.”
He said the rally—fueled by geopolitics, Fed concerns, and investor speculation—reversed suddenly, lifting the dollar and pushing the Dow above 50,000 for the first time.
Bessent said the economy is entering an upward cycle ahead of November’s elections and expects the Federal Reserve to move cautiously on shrinking its balance sheet.
He also said Trump’s Fed chair nominee, Kevin Warsh, will be independent but aligned with the administration’s views on interest rates.
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