After the US president Trump retreated significantly both in the tariffs against China and in the dismissal of the president of the Fed, Powell, the price of gold fell temporarily below the $ 3,300 per ounce Troy, says the FX analyst of Commerzbank, Thu Lan Nguyen.
Gold will probably continue to be sued as a safe refuge
“However, since it still is not clear when and in what way an agreement is possible with Chinese leadership – there have been different statements regarding Trump, the secretary of the US Treasury Cleveland, Beth Hammack, have fed the hopes of cuts in interest rates with their latest statements. “
“Waller would expect more and faster cuts in interest rates if the situation in the labor market deteriorates significantly due to tariff anticipated by the majority in the summer – many market participants now probably feel strengthened in their expectations, which is also support for the price of gold. “
“In addition to the White House statements, attention will now focus on US economic data if they already show clear signs of a deceleration in the US tariff policy, the price of gold could quickly rise.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
