The current world gold price is $1,932.7 per ounce, down 7.8 dollars from the previous session.
This drop is due to the US Federal Reserve Governor's statement about raising interest rates to target 2% inflation.
However, more evidence is needed to support this decision. Additionally, improving employment data may lead the Fed to reconsider its high interest rates. The Fed's comments have discouraged investors in the gold market.
It is expected that the gold market will trade around $1,950 per ounce throughout the summer due to the Fed's hawkish stance.
This drop is due to the US Federal Reserve Governor's statement about raising interest rates to target 2% inflation.
However, more evidence is needed to support this decision. Additionally, improving employment data may lead the Fed to reconsider its high interest rates. The Fed's comments have discouraged investors in the gold market.
It is expected that the gold market will trade around $1,950 per ounce throughout the summer due to the Fed's hawkish stance.
Comment:
The US will announce the consumer price index (CPI) in July. According to the forecast, the US inflation rate in July will increase by 0.2%, equal to June. If the actual increase is higher than the forecast, the possibility high is that the Fed will raise interest rates one more time and gold will be under pressure.
Comment:
Previously, many expected China's gold demand to increase sharply in the second half of this year thanks to Beijing's economic support policies and the country's gold consumption season.
However, China's real estate and retail markets are still weak. Meanwhile, exports have not improved.
However, China's real estate and retail markets are still weak. Meanwhile, exports have not improved.
