The declining trend in gold prices dominated the global markets this week. Analysts have been quick to attribute the recent drops to a few key factors.
First off, there’s the significantly stronger U.S. dollar, which always exerts downward pressure on gold prices. Furthermore, the anticipation of increased interest rates from the Federal Reserve has further dampened the appeal of the precious metal.
Looking ahead, all eyes will be on the performance of the U.S. dollar and the developments in the U.S. economy. If the dollar continues to strengthen, we might see more declines in gold prices. On the other hand, any signs of stagnation or recession could fuel a resurgence.
Investors should watch out for the $1830 level, which is considered a crucial resistance point. A break above this level could validate bullish prospects in the short-term. Read More
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