Top Stories This Week: Gold Plunges to Two Year Low, Ethereum Completes Merge

https://www.youtube.com/watch?v=Ta-yDZCq1gU– YouTubeyoutu.be

The gold price dropped to its lowest level in over two years on Thursday (September 15), reaching US$1,665 per ounce.

The metal has been hit hard by US economic data. Tuesday (September 13) brought the latest Consumer Price Index (CPI) reading, which shows that in August inflation rose 0.1 percent month-on-month and 8.3 percent year-on-year. While the year-on-year number is a deceleration compared to the prior month, the month-on-month rise comes after the CPI was flat from June to July.

In a conversation before the CPI data came out, Gareth Soloway of InTheMoneyStocks.com told me higher inflation would be a signal that the US Federal Reserve will need to hike interest rates by 75 basis points at its meeting next week.

Prior to the CPI news, most market participants had been debating whether the central bank would hike by 50 or 75 basis points, but now some experts are suggesting that it may go for a full percentage point rise.

“If you still see very high inflation and it’s not coming down, it’s likely going to signal the Fed has to do 75 basis points at its next meeting” — Gareth Soloway, InTheMoneyStocks.com

As we’ve discussed previously, Chair Jerome Powell has emphasized that the Fed will do what it takes to tame high prices.

We’ve asked our Twitter followers for their September rate hike expectations before, but with this new information we raised the question again. About 60 percent of respondents expect 75 basis points, while 100 basis points is next with around 30 percent of the vote; less than 10 percent think 50 basis points is in the cards.

We’ll be asking another question on Twitter next week, so make sure to follow us @INN_Resource and follow me @Charlotte_McL to share your thoughts!