The yellow gold price, surrounded by a resurgent dollar, recorded its biggest annual drop since 2015 as investors prepare to enter a new year in which money supply can be tightened even as the threat of the Omicron coronavirus variant persists. Spot gold closed the year at $1,827.21, up 0.75% daily. Analisdollarser shares his expectations and interprets the markets. We Kriptokoin.com have compiled analisdollarserine predictions for our readers.
Warren Venketas: Gold could be in a downhill battle
as the rebounding global in 2021 pushes more investors into riskier assets and reduces interest in safe-haven assets like bullion. It lost 4% of its value. Adding to this mix were indications that central banks would step up to rein in the massive printing of money from the pandemic to stimulate the economy. While bullion is often seen as a hedge against inflation from widespread stimulus, interest rate increases translate into higher opportunity costs of non-interest-bearing gold, pushing U.S. Treasuries and the dollar higher. DailyFX analyst Warren Venketas comments:
With US 10-year yields reaching 2% in 2022, with temporary inflation and of course higher interest rates, gold could be in for a downhill battle.
Exinity chief market analyst Han Tan says concerns about the impact of the Omicron variant could bolster gold, but higher interest rates could undermine its appeal. At the same time, the analyst highlights the outlook for the precious metal this year:
Gold may see a few catalysts for significant gains this year, whether it’s a Fed policy error, rising inflation in indolences, or even an increase in geopolitical tensions. .
Gold will be over $2,000 in 2022 according to Robert Hartmann
metals could rise significantly this year. The analyst explains the dominant factor of this situation as follows:
Contrary to the usual expectations for significantly low inflation, inflation reached the highest level of the last quarter century in both Europe and the USA. It is likely that very high inflation will continue all over the world. These high inflation figures will fuel gold prices as a driving force.
After yellow metal’s disappointing performance in 2021, Robert Hartmann looks hopeful for 2022. The analyst predicts that gold prices could reach highs above $2000 again in 2022.
A pessimistic scenario for gold
Credit Suisse analyst Fahar Tariq, on the other hand, thinks that the valuation of the precious metal fiadollars above $1,800 creates optimism, and the yellow metal will average $1,850 in 2022. predicts it will.
Fahar Tariq is not as optimistic as Robert Hartmann, because he doesn’t expect fiyadollarsars to last very long here. The analyst predicts that in 2023, the price will decline to $ 1,600, and in the long run, it will be traded at the level of $ 1,400.
“We can reach the target of $3,000 below”
Gold Royalty’s David Garofalo, who sees the possibility of a correction in the stock markets rising so fast in 2021 as a support for gold, 2022 Expects a big move from the precious metal in :
I see no reason why we shouldn’t hit the $3,000 target in gold. I believe that what will trigger such an increase will be a correction in the stock markets.
Furthermore, analisdollarser assesses that the ongoing energy crisis in Europe and the escalation of tensions between Russia and Ukraine could be the driving forces of gold as we enter the new year. In addition, they state that the slowdown in k growth following the rejection of US President Joe Biden’s $2 trillion plan may also support gold.