World gold prices hit their lowest level in nearly a month.

The fear of prolonged inflation, stemming from the ongoing conflict in the Middle East, caused the price of gold to fall below $4,600 at one point.

World gold prices at one point fell by more than $100 during the April 28th trading session. Chart: Kitco

At the close of trading on April 28, the spot price of gold fell by nearly $90 to $4,594 per ounce. During the session, the price briefly dropped close to $4,550 – the lowest since April 2. This morning, the price edged up to $4,602.

The market declined due to lingering inflation concerns, after US President Donald Trump appeared dissatisfied with Iran's latest proposal to end the conflict. Investors are also awaiting the outcome of this week's policy meeting of the US Federal Reserve (Fed).
"Recent developments have made the market pessimistic about the peace process in the Middle East. The Trump administration has rejected Iran's latest proposal, leaving the Strait of Hormuz closed," Peter Grant, vice president of Zaner Metals, told Reuters.

World crude oil prices rose nearly 3% on April 28, raising inflation concerns ahead of the Fed meeting. "This pushed gold to a four-week low," Grant explained.
Rising oil prices reduce the likelihood of central banks lowering interest rates. While gold is a traditional hedge against inflation, high interest rates put pressure on it because the precious metal does not pay a fixed interest rate.

Investors are now expecting the Fed to keep interest rates unchanged at this week's meeting. Statements from Fed Chairman Jerome Powell will also be closely watched, as this may be his last meeting as chairman. This week, many other central banks are also holding meetings, from Europe and the UK to Canada.

From May 1st, the UAE withdrew from the Organization of Petroleum Exporting Countries (OPEC) and the OPEC+ alliance. However, in the short term, this is not expected to have a significant impact on the oil market, as the Strait of Hormuz remains under blockade.

In the physical gold market, China imported a net of over 47,800 tonnes from Hong Kong in March, an increase of nearly 2,500 tonnes from the previous month. They are now the world's largest consumer of gold.

According to vnexpress.net

Source: https://baodongthap.vn/gia-vang-the-gioi-thap-nhat-gan-mot-thang-a240216.html