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​Gold May Lose Glitter on Changed Fundamentals

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xysoom  長老   投稿数: 3086
​Gold May Lose Glitter on Changed Fundamentals


Gold opened 2020 with a striking momentum, hitting as high as $1,950/ounce. Despite the following rosy expectations, the yellow metal, instead of extending their gains, suffered from huge losses.To get more news about WikiFX, you can visit wikifx official website.
  Gold prices endured a loss in excess of -2.5% during the first week of the year. What's more, the US Non-Farm Payrolls released in the second week dragged them below the $1,900 barrier, a drop of more than $100.
  The mounting uncertainties arise from the rampant pandemic contributed to the previous boom in gold. With the US Treasury yields moving higher, however, traders picked up their risk appetite, which shocked the yellow metal heavily.
  Inflation expectations have found their growth hampered, despite the boost from the US fiscal stimulus. As a result, the US real yields increase, undercutting the appeal of gold.
  While the longer-term fiscal stimulus measures in the context of a low-interest rate should be beneficial for gold prices, it may prove to be tough sledding for gold prices the next few weeks if US Treasury yields sustain their advance.
  Technically speaking, golds return back to the August-November 2020 downtrend may pave the way for further losses.
  Use WikiFX (bit.ly/wikifxIN) to discern market trends, capture trading opportunities and make more profits.
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