Domestic gold prices
Domestic gold price trends
Trends in world gold prices
Global gold prices rose despite the strengthening US dollar. At 5 PM, the US Dollar Index, which measures the dollar's fluctuations against six major currencies, stood at 106.612 points (up 0.24%).
Gold prices showed signs of falling after better-than-expected US economic data. The market leaned towards a hawkish stance on monetary policy, with many supporting the Federal Reserve (FED) continuing to raise interest rates.
According to published data, the US GDP in the third quarter is estimated to have increased by a high 4.9%. Inflation has been brought under control. The US Department of Commerce reported that orders for durable goods increased by 4.7% (equivalent to $13.2 billion) in September. This figure is higher than economists' forecasts.
Better-than-expected US economic data boosted the USD, supporting Treasury bond yields. This significantly reduced the attractiveness of non-yielding assets like gold.
Furthermore, profit-taking is also putting global gold prices at risk of falling. Jim Wyckoff, senior analyst at Kitco Metals, said that some investors are taking profits early. With bond yields remaining near 5%, US Treasury bonds could become an attractive safe-haven asset, competing with precious metals.
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