The US Dollar rose, making gold more expensive for international buyers at the end of the week and the third day of lower closes in the Gold price comes ahead of next week's two-day meeting of the Federal Reserve's policy committee.
The Fed is expected to end with a 25 basis point hike to US interest rates, although for most gold investors it is the medium to longer term that matters. But following reports that inflation and the economy are slowing, few expect the central bank to further raise rates this year and some have begun expecting it to begin rolling back its hikes in the new year.
''The Fed is widely expected to resume policy rate increases next week following its decision to pause in June. While we anticipate that July will bring the last rate hike of this cycle, we don't think the Committee is comfortable signalling that shift yet,'' analysts at TD Securities, however, argued. ''Indeed, Fed Chairman, Jerome Powell, will likely reiterate that an additional rate increase this year still holds.''
This leaves gold price at a crossroads on the charts and this can go either way.
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