The Australian dollar strengthened to around $0.661 USD as investors processed stronger-than-expected consumer price growth in August.

Asian markets pared their losses following a rally in Chinese tech stocks, with Alibaba Group Holding Ltd. announcing plans to boost investments in artificial intelligence.

Fed policy is still restrictive despite the cut, with weak growth and below-average return prospects compared to past “Goldilocks” periods.

Gold attracts dip-buyers on Wednesday and stalls the overnight pullback from the all-time peak.

Now that the Federal Reserve is back to cutting rates, we can start looking ahead to how low they might go.

The US dollar held firm after price action took a slight dip following the recent bullish rally.

During the trading session on Tuesday, we saw the US dollar go back and forth in a fairly tight range against the Swiss franc.

Gold prices are at record highs due to safe-haven demand and anticipated interest rate cuts.