Losses of 2.1% brought gold to a year low

Gold was also lower today, failing to take advantage of strong jitters in global equity markets as the rising dollar weighed on demand for the precious metal.

In particular, the gold contract for August delivery ended trading at the lowest level seen within 2022 in $1,763.9 the ounce with losses 2.1% or $37.6.

Silver also moved sharply lower, which saw the September contract retreat by 2.8% or 55 cents closing at $19,121 the ounce.

“Gold could continue to move sideways between $1,750 and $1,900 for a while,” said Carlo Alberto De Casa, analyst at Kinesis Money.

“The strength of the US dollar complicates further recovery in gold, but at the same time investors want to have gold in their portfolio because of the intense uncertainty,” he adds.

Although gold is considered an excellent hedge against inflation, rising interest rates put a lot of pressure on assets without a fixed return.

In this climate, SPI Asset Management’s Stephen Innes estimates that “while we are stuck in the $1,790-$1,830 range, gold could receive support from recession concerns and an eventual softening of the Fed’s stance.”

The trends in metals in general were bearish, with palladium September to complete his transactions in 1,918 dollars with –1%the platinum he lost 2.4% closing at $850.7 while the copper continued the sell-off of the last interval with new dives 5.2% at $3,415 the pound.