According to ETN News on the 29th, gold prices fluctuated around USD 4,125 per ounce on Tuesday, currently standing at USD 4,127.59. This follows a 4% drop on Monday (28th) to a level near a 7-week low.
Gold prices fell approximately 7% in September. Jim Wyckoff, market analyst at American Gold Exchange, said that the ongoing standoff between the U.S. and Iran in the Strait of Hormuz, coupled with rising crude oil prices, implies inflation risks could worsen further, potentially prompting the Federal Reserve to raise interest rates again; combined with a strengthening dollar and rising U.S. bond yields, this "creates a perfect storm" causing significant declines in gold prices, which do not generate interest.
However, Aakash Doshi, Head of Gold Strategy at State Street Global Advisors, expects gold prices to hold above the USD 4,000 threshold and remains optimistic that gold could rise to USD 5,000 within the next six months. (rc)
Gold prices fell approximately 7% in September. Jim Wyckoff, market analyst at American Gold Exchange, said that the ongoing standoff between the U.S. and Iran in the Strait of Hormuz, coupled with rising crude oil prices, implies inflation risks could worsen further, potentially prompting the Federal Reserve to raise interest rates again; combined with a strengthening dollar and rising U.S. bond yields, this "creates a perfect storm" causing significant declines in gold prices, which do not generate interest.
However, Aakash Doshi, Head of Gold Strategy at State Street Global Advisors, expects gold prices to hold above the USD 4,000 threshold and remains optimistic that gold could rise to USD 5,000 within the next six months. (rc)
