The Federal Reserve is preparing to slow down the speed of interest rate hikes next month and 2023. With the effect of this, the price of gold began to give signs of promotion again. Therefore, individual investors are much more excited about gold. In addition, it shows more interest to valuable metal.
“The price of gold will watch horizontally until the Fed decision”
However, according to the latest Kitco News weekly Gold Survey, Wall Street analysts were not convinced that gold was ready to explode. Many analysts expect prices to be treated horizontally in the near term. RJO Futures’ senior market strategist Bob Haberkorn, while the interest increases, the prices of the prices to rise above $ 1,800, he says. Therefore, Haberkorn expects prices to move around the current levels. In this context, the analyst makes the following statement:
Everyone focuses on the FED and how much interest rates will rise. I think the price of gold will be quite horizontal until the Fed decision. So Gold will be a boring market until then.
What does the gold price survey show?
This week, he voted at the 16 Wall Street analyst Kitco Survey. Seven analysts (44%) among the participants remained neutral about gold in the near term. At the same time, six analysts (38%) are expecting rise for next week. Three analysts (19%) predict that prices will fall further.
Meanwhile, 1,054 participants voted in the online main Street survey. 667 (63%) of these expects gold to rise next week. The other 253 (24%) says prices will be lower. 134 voters (13%) remained neutral in the near term. Excessive rise among individual investors prevails. In addition, this week’s survey has been the highest level since the end of September.
“The price of gold seems to have turned the corner”
Kriptokoin.comAs you have followed, the mixed look for gold, shortening process week prices, the neutral region of $ 1,750. With the monetary policy of Federal Reserve, some analysts say they are currently sitting on the fence to see how US dollar flows will affect gold prices.
Analysts draw attention to the fact that the US Dollar Index is traded at a critical pivot point of around 106 points. They also state that more weakening will be positive for gold. SIA Wealth Management Chief Market Strategist Colin Cieszynski says that the US dollar continues to rise because it expects the peak. From this point of view, the analyst makes the following statement:
Gold seems to have turned the corner with the US Treasury bond returns and the withdrawal of the US dollar. This makes the role as a value tank in turbulent times to come to the fore again.
“Gold is now ready for the next lower leg”
However, other analysts were not convinced that the US dollar has declined, especially because the expectations that the Federal Reserve would raise interest rates to over 5 %early next year. Bannockburn Global Forex General Manager Marc Chandler shares the following comment:
I expect higher interest rates and a stronger dollar to enable gold to test $ 1,720-1.730 in the cash market. Momentum indicators still show the south. Also, I think we just saw the first stage below. After a small jump, the gold is now ready for the next lower leg.
“Gold needs to rest”
Adrian Day Asset Management President Adrian Day draws attention to the solid gains of the precious metal since the beginning of the month. He then says that some consolidation will be healthy underneath. Day explains his views as follows:
Gold needs to rest. Without a new development, gold will probably not change relatively next week. As you approach the next Fed and ECB meetings in the middle of December, the market will look for a slowdown and even pause signs in tightening. This will cause gold to rise again.