"Gold tumbled more than 5% on Tuesday, marking its steepest one-day drop since August 2020, as a stronger US dollar and heavy profit-taking pressured prices after recent record highs. Reduced fears over US-China tensions, optimism that the government shutdown could end soon, and easing concerns over US regional banks boosted the Dollar to its highest level in almost a week."
"This improved risk sentiment could reduce safe-haven demand and accelerate the pullback in gold. Even so, geopolitical risks in Eastern Europe and the Middle East, alongside expectations of Federal Reserve rate cuts, continue to offer a supportive backdrop, suggesting the metal could find buyers on dips."
Gold experienced a sharp one-day decline exceeding 5%, its largest since August 2020, following recent record highs. A firmer US dollar and heavy profit-taking exerted downward pressure on prices. Reduced US-China tensions, optimism about a near resolution to the government shutdown, and easing concerns over US regional banks strengthened the dollar and improved risk appetite. Improved risk sentiment lowered demand for safe-haven assets and accelerated the gold pullback. Ongoing geopolitical risks in Eastern Europe and the Middle East, together with expectations of Federal Reserve rate cuts, provide a supportive backdrop that could attract buyers on price dips.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]