Gold prices fluctuate especially with the movements of the US Federal Reserve (FED). Gold, which started to move again in the past days, experienced a decline over the weekend. While investors are waiting for help from experts on when to buy and sell their gold; Gold and Money Markets Specialist İslam Memiş announced that he recently sold his gold assets. He also gave his final comments. Here are the details…
Islam Memiş announced its expectations for gram gold
The markets were active with the Fed’s interest rate decision last week. Gold prices fell over the weekend. Gold and Money Markets expert, İslam Memiş, thinks that the Central Bank will increase interest rates 3-4 times by the end of the year.
While Islam Memiş draws attention to the fact that the economic crisis will continue in 2023, he thinks that inflation will increase. Memiş said that central banks only increased interest rates in line with the fight against inflation. Islam Memiş pointed to 950 liras as support level and 1.050 liras as resistance level under gram. According to Islam Memiş, the price of an ounce of gold may reach $1,880 by the end of the month. The expert draws attention to the fact that the dollar rate is facing the resistance level of 17.50 lira.
What is the latest situation in the market?
Gold prices rallied on Tuesday as the dollar eased, while investors carefully watched the major central banks’ stances on rate hikes to get a clearer outlook for bullion. A weaker dollar makes dollar-priced bullion more attractive to buyers of other currencies. The price of spot gold rose to $1,841. However, benchmark US 10-year Treasury yields rose, capping gains in zero-yield gold.
Stephen Innes, managing partner of SPI Asset Management, noted, “After a historic week for global central banks, the gold market is firmly seated. “Policymakers will explain the rationale behind their decisions this week,” he said. cryptocoin.comAs we reported, the US Federal Reserve last week approved its largest rate hike in more than a quarter-century to stem the rise in inflation.
Fed Chairman Jerome Powell will present semi-annual monetary policy statements before the Senate Banking Committee and the House Financial Services Committee on Wednesday and Thursday, respectively. A series of surprise actions by some of the world’s largest central banks, worried about runaway inflation, battered bond investors. Now, many investors are urging policymakers to act quickly to end the uncertainty. While bullion is often seen as an inflation hedge, higher interest rates and bond yields increase the opportunity cost of holding gold, which does nothing.
