Gold Price Predicted to Break USD 2,000 Again

Gold Price Predicted to Break USD 2,000 Again

global.gerbangindonesia.org – Gold Price Predicted to Break USD 2,000 Again

Gold prices were able to penetrate the level of USD 2,000 per ounce last week. However, this position did not last long. Analysts believe that the breakdown of the gold price at the level of USD 2,000 is just the beginning of heading to a higher level.

The latest results from the Kitco News Weekly Gold survey, quoted on Monday (14/3/2022), show that the majority of analysts believe that gold prices will continue to strengthen but cannot confirm the time. Meanwhile, at the same time, the bullish sentiment among retail investors has also eased from the high levels printed last week.

Many analysts see that the price of gold is destined to move higher and be able to print historical highs. However, several other analysts said that it was a bit excessive and gold prices were likely to consolidate.

“No doubt gold prices are in an upward trend but there needs to be some consolidation,” said Blue Line Futures analyst Philip Streible.

“You don’t want to follow the market. I would probably buy if gold was around USD 1,962 an ounce.” he added.

This week, 18 Wall Street analysts participated in the Kitco News gold survey. Among those eight analysts or 44 percent called for gold prices to rise this week. At the same time, three analysts or 17 percent said gold prices would be bearish and seven analysts or 39 percent were neutral.

Meanwhile, 1,013 votes were cast in the online poll. Of these, 634 respondents or 63 percent see that gold prices will rise this week.

Meanwhile, another 223 or 22 percent said the world gold price would be lower. While 156 voters or 15 percent were neutral.

Analyst said

Gold Price Predicted to Break USD 2,000 Again

Equiti Capital analyst David Madden said that although he is neutral on gold this week, he sees increased risk ahead of the Federal Reserve’s monetary policy meeting decision on Wednesday.

Madden said the market continues to expect the Federal Reserve to raise interest rates six times this year. however, Russia’s war with Ukraine creates a lot of economic uncertainty as rising commodity prices increase inflation risks.

Madden added that any hint that the US central bank will be less aggressive with its monetary policy could be good for gold.

“The Fed will raise rates that’s for sure. But maybe they are signaling four rate hikes this year instead of the six that the market was expecting. The Fed will not accelerate rate hikes with the ongoing conflict in Ukraine.” he clear.

The US may be volatile around the Fed meeting, but overall, inflation remains high, and the global political or financial situation remains volatile, which has historically made gold more attractive.

SIA Wealth Management chief analyst Colin Cieszynski said the US central bank’s monetary policy meeting would be decisive, he predicted it would create some volatility for the US dollar and in turn would benefit gold prices.

Looking past the potential for volatility, Cieszynski, said that he sees gold prices going bullish this week.

“Overall, inflation remains high, and the global political or financial situation remains volatile, which has historically been a pull for gold,” he said.

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