2024: GOLD PRICES TO SUSTAIN

Vigilance remains crucial for navigating the ever-changing landscape of precious metal markets tied to economic and geopolitical disruptions.

MARKET FOCUS THIS WEEK

The dynamics in equity markets, coupled with economic indicators, interest rate, energy and precious metals outlook, present a complex situation requiring vigilant monitoring in the week ahead.

GOLD SURGES AMID CONFLICT

The Middle East crisis played a pivotal role in the recent surge, reflecting the historical tendency of gold to perform well during geopolitical uncertainties.

MARKETS THIS WEEK

US, Asian and European markets also experienced downturns following the hawkish statements from the US Fed Chairman. The global market scenario reflected the spike in the US 10-Year bond yield to a 16-year high and the Dollar Index reaching a 10-month high of 106. Challenges in China’s property market and fears of inflation further contributed to the market’s downturn. While cautious optimism remains, traders anticipate weak to flat market action in the forthcoming week.

GOLD LOSES SHINE

The gold market is currently characterized by a sense of uncertainty due to a lack of compelling data and drivers impacting inflation and gold prices since the release of the August payrolls numbers. This uncertainty is reflected in the tight $15-$20 trading range.

POWELL EXPECTED TO MAINTAIN HAWKISH STANCE

Gold, which is a precious metal often used for investing, is facing challenges. Traditionally the Gold prices moved up in times of uncertainty, inflationary pressure or distress. However the scene may not play out that way. Governments are quick to inject liquidity in such times. Therefore, given the current economic situation and gold staying much below $1,950 an ounce, it’s not certain if it will go up to $2,000 again in a hurry.

GOLD IN SILVER OUT

Silver faces heat from China. Forthcoming US CPI report, the BRICS assembly, US government bond yields, to determine trajectory of gold. Stay informed with UpTrendPicks.com for real-time market analysis. Enhance your investment decisions.