Gold Prices Consolidate As Traders Await Fed Rate Cut Decision - Gold Price Forecast (Video)
|Gold takes centre stage this week as traders await outcome of the U.S. Federal Reserve’s two-day monetary policy meeting.
The Fed is widely expected to announce a rate cut when it concludes a two-day policy meeting on Wednesday. It would be the central bank’s second interest cut after lowering rates in July for the first time since the 2008 financial crisis.
A Fed rate cut this week could put pressure on the Bank of Japan to ease policy on Thursday.
With such mixed expectations the Fed announcement has the potential to stir up volatility.
Lower U.S. interest rates put pressure on the dollar and bond yields, whilst significantly boosting the appeal of assets such as gold.
Gold prices have climbed over 19%, since touching a 2019 low of $1,265 an ounce in early May, supported by an increasingly dovish stance from major central banks, escalation in the U.S-China trade war and Middle East tensions.
Where are prices heading next? Watch Phil Carr at The Gold & Silver Club review Gold with the latest price forecast and predictions:
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