Over the course of the week, investors will closely monitor monetary policy decisions from the Fed on Wednesday, the Bank of England on Thursday, and the Bank of Japan on Friday.
Gold showed a significant rebound during the last week, reaching its highs in seven daysjust before an important political decision by the Federal Reserve of the US scheduled for this week. It is widely anticipated that the Fed will keep the interest ratesalthough investors will be attentive to the language and future signals that emanate from this entity.
Spot gold experiences an increase of 0.2%, trading at 1,926.71 Dollars per ounce, while futures of gold In the US they showed an improvement of 0.1%, standing at US$1,948.20.
Over the course of the week, investors will closely monitor the Fed’s monetary policy decisions on Wednesday, from the Bank of England on Thursday and the Bank of Japan on Fridaywhich can have a significant impact on the markets.
Carlo Alberto De Casa, from Kinesis Moneysaid: “So far, due to the resilience of the US economy and high levels of inflation, investors are still not sure that we have reached the rate ceiling“. He also pointed out the possibility of rates remaining high for an extended period, which often has a negative effect on the price of gold. In fact, De Casa indicated that only a clear surpassing of the levels of 1,950-1,952 dollars could revitalize gold prices.
It is worth mentioning that goldbeing an asset that does not generate interesttends to lose attractiveness to investors when interest rates rise. In contrast, in the field of other precious metals, spot silver registered an increase of 0.8%, reaching $23.19 per ounce; platinum experiences a rise of 1%, reaching $934.68; while palladium shows a slight increase of 0.1%, trading at $1,249.96.
Source: Ambito
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