Gold pricesyellow continues to monitor US dollar performance, central bank policy decisions, global k outlook and bond yields to determine medium and long-term direction. Analisdollarser, on the other hand, expects the short-term outlook for the gold price to be volatile.

Gold rebounds from five-month low in September

Gold rebounded from a five-month low in September as the US dollar softened and rising Covid-19 cases rekindled safe-haven demand. The recovery in physical demand due to the bargain purchase also supported the sentiment. With the release of US nonfarm payrolls data in the first week of September, the price of gold rose to $1,833.80 an ounce.

U.S. nonfarm payrolls for August rose by 2,35,000, well below sdollarserine estimates and the weakest in seven months. New Covid-19 cases weighed on business data in the US. However, the soft employment report may prompt US Federal Reserve policymakers to delay any consideration of downscaling the asset purchase program at its next meeting.

Gold slumped to a five-month low in August due to these factors

In his recent Jackson Hole symposium speech, Fed Chairman Jerome Powell hinted that while the US job market is making clear progress, he expects significant progress in reducing the central bank’s stimulus measures. The measures taken by central banks to extend the stimulus will be good news for gold. In June, gold rallied nearly 7 percent amid rumors that the Federal Reserve will soon begin curtailing its massive bond-buying program. Cryptocoin. com

As we previously reported , the growth gap in job creation frustrated expectations of an early monetary tightening.

However, the European Central Bank (ECB) has signaled that it will reduce emergency bond purchases in the next quarter. At its last policy meeting on September 9, the bank announced its first small step towards unraveling the emergency aid that supports the eurozone during the pandemic. The ECB had promised to adapt to an even longer ultra-easy policy when it was announced in July, but persistent inflationary pressure weighed on the decision. Gold fell to a five-month low in August amid pressure from a strong dollar, strong stocks and recovery in US Treasury yields.

Gold’s short-term outlook likely to be choppy and slightly positive, according to analystsdollars

Concerns about physical market activity dollars in key Asian countries due to the spread of the more lethal Delta variant also cast doubts on commodity prospects. The dollar index has made a strong start this year. It rose nearly 4 percent in the first quarter, but reversed most of the gains by the end of May. The optimism about the USA and the hopes of reducing the fiscal stimulus measures gained momentum again. The dollar is inversely proportional to the yellow metal, as it is the comparative pricing mechanism for gold.

Dollar volatility also affects the sentiment of other currencies. The euro slid to an eight-month low in August, but later gained in value. According to Analisdollarser, the short-term outlook for gold is likely to be choppy and slightly positive. The fundamentals are not strong enough to break their latest high. Investment demand is likely to remain stable due to the rally in equities and the strong dollar. Physical demand from India and China may also be more or less stable. According to analysts, fiyadollarsar continues to monitor the dollar’s performance, central bank policy decisions, global k outlook and bond yields to determine medium and long-term direction.

Jeff Wright: Gold’s next step still depends on range…

Jeff Wright, chief investment officer at Wolfpack Capital, said that the precious metal’s “1st He said the battle to “get back $800 and keep it” is not a sign of strength. Jeff Wright said, “Gold’s next step still depends on range… 1.750-1 for now. Between $850, however, there is a divergence at the lower end of the range. ” said.

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Michael Lewis


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