# The Fed cuts rates, increasing gold’s allure | Post by Juan Carlos Artigas | Insights | World Gold Council

> The Fed cut its funds rate by 50 basis points to a range of 1.00%-1.25% in response to coronavirus concerns, bringing the 10-year Treasury yield near 1%, an all-time low. Gold reached an intraday high of $1,650 an ounce on March 3 after the cut.

- Date: 2020-03-04 · published 2020-03-04T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/54049-the-fed-cuts-rates-increasing-gold-s-allure-post-by-juan-carlos-artigas
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Record-low Treasury yields reduce the opportunity cost of holding gold and signal limited room for further conventional easing. The article highlights a possible shift to unconventional policy tools, which can affect dollar and commodity prices.

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2019-10-08 | [BNP Paribas: The outlook for gold as Fed rates fall \| World Gold Council](https://feedsoft.ai/events/56490-bnp-paribas-the-outlook-for-gold-as-fed-rates-fall-world-gold-council.md) | -0.6% | -1.2% |
| DXY | 2021-02-01 | [Gold is moving with rates \| Post by Adam Perlaky \| Gold Focus blog \| World Gold Council](https://feedsoft.ai/events/48545-gold-is-moving-with-rates-post-by-adam-perlaky-gold-focus-blog-world-gold.md) | +0.3% | +0.5% |
| DXY | 2018-04-22 | [Investment Update: Gold tracks the dollar as rates take a back seat \| World Gold Council](https://feedsoft.ai/events/65432-investment-update-gold-tracks-the-dollar-as-rates-take-a-back-seat-world-gold.md) | +0.9% | +3.3% |
| DXY | 2019-07-31 | [Gold, Silver Dip as Fed Cuts Rates for First Time Since 2008 \| INN](https://feedsoft.ai/events/58017-gold-silver-dip-as-fed-cuts-rates-for-first-time-since-2008-inn.md) | +0.9% | +1.8% |
| DXY | 2024-10-01 | [What a Fed rate cut could mean for the world](https://feedsoft.ai/events/28219-what-a-fed-rate-cut-could-mean-for-the-world.md) | +0.9% | +2.9% |

## Sources

- gold.org: https://www.gold.org/goldhub/gold-focus/2020/03/fed-cuts-rates-increasing-golds-allure

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.