Market Summary (Oct 29, 2025)

We remain constructive on gold despite the recent shake-out, as central banks continue to diversify into bullion (gold now represents roughly 30% of FX+gold reserves) and our long-term fair-value model points toward much higher levels. Tomorrow’s FOMC is the next key catalyst: a dovish Fed would likely send gold higher and the dollar lower, while hawkish comments could trigger a reversal. Meanwhile, Australia’s hotter-than-expected CPI has derailed near-term RBA-cut bets and lent support to the AUD, though broader stagflation concerns could re-ignite selling. Oil remains highly volatile, with traders advised to maintain risk-defined stop levels until clear structural triggers emerge.