Ounce gold reached the highest levels of about a week today. In line with factors such as Jerome Powell statements and inflation data, experts announced their expectations for the precious metal. Cryptocoin. com we are conveying the details…
Here are the expectations for the gold price
Fed Chairman Powell said the central bank’s plans to raise interest rates should not hamper the economy or hurt the job market, essentially painting a “soft landing” picture. “Although the Fed’s more hawkish rhetoric has scared all markets, I think Powell’s statement reassures the central bank that the central bank won’t act too hard and will keep the health of the economy its top priority,” Gold Newsletter editor Brien Lundin said. Analyst Naeem Aslam said:
Despite yields exceeding 1.80 percent on 10-year Treasury bills, gold prices are rising as it is considered a hedge against inflation, and investors expect inflation to continue to rise in the coming months.
Peter Grant, vice president and senior metals strategist at Zaner Metals, said in a recent news release that the market is currently waiting for the Fed’s first rate hike in March and may begin to cut its balance sheet shortly thereafter. If that happens, “10-year yields are likely to test the 2 percent level in the near term,” he says. He states that this will provide support to the dollar and make it difficult for gold to rise above $ 1,800.
Grant said this week that the market will closely monitor inflation data. December US consumer price index will be announced today at 16:30. “Inflation will likely remain high, stocks are already expressing dissatisfaction,” Grant said. “The declining risk appetite, along with the desire to hedge these inflation risks, can provide some shelter for gold.”