Gold Prices Remain Steady Despite Bearish Pressure
By Gold prices remain somewhat steady despite conflicting forces of bearish and bullish pressure. The US dollar index is finally dropping, but gold prices remain high, making it an expensive investment.[0] The latest Kitco News Weekly Gold Survey shows that Wall Street Analysts are bearish on gold in the short-term.[1] Additionally, US inflation data is expected to be released on Tuesday and will play an important role in determining the trajectory of Fed rate hikes and gold prices. The Global Precious Metals MMI (Monthly MetalMiner Index) saw a slight decrease of 0.37% last month.[0] The market appears more bearish than bullish in the short term and gold is highly sensitive to rising US interest rates.[2] Investors typically turn to precious metals as a safe haven during recessional times, but this is being challenged by historically high USD index and interest rates.[0]
0. “Precious Metal Prices Today Face Bearish Pressure” MetalMiner, 10 Feb. 2023, https://agmetalminer.com/2023/02/10/global-precious-metals-mmi-prices-shift-down-markets-face-bearish-pressure/
1. “Sentiment in gold turning bearish as prices end the week below $1900” Kitco NEWS, 10 Feb. 2023, https://www.kitco.com/news/2023-02-10/Sentiment-in-gold-turning-bearish-as-prices-end-the-week-below-1-900.html
2. “Gold edges higher in choppy trade as investors await U.S. economic data” CNBC, 8 Feb. 2023, https://www.cnbc.com/2023/02/08/gold-gains-as-us-dollar-eases-off-one-month-peak.html
