The price of gold increased over $ 1,800 on Friday, supported by bets that central banks could keep interest rates relatively low to prevent growth risks. However, while investors are trying to measure the timing of the timeline of the US Federal Bank to reduce bond purchase; A general rise in the dollar led to the decrease in gold on a weekly basis. While the SPI Asset Management manager says that the gold price is purchased from the bottom, Gold may drop to $ 1,700 in the fourth quarter of 2021, according to Citi Research analysts.
SPI Asset Management Manager: The price of gold continues to see the purchase from the bottom levels
Spot gold rose to $ 1,800 per ounce with an increase of 0.38 percent. However, with a 1.4 percent decrease so far, it has turned to the first seven -day decline it has seen for five weeks. The US gold futures increased to $ 1,802. The dollar, which facilitated the rise of gold, moved a little softer during the day and became more attractive for those who hold other currencies.
SPI Asset Management’s executive partner Stephen Innes said that gold continues to buy at the bottom levels because the central banks are not in a hurry to raise interest rates. “Growth is still a great concern for the central banks, Innes, Innes said. Since the bullion, which does not bring about, tends to win at the low interest rates, gold investors closely follow the clues of the FED, while others see the ingot as a protection against high inflation fed with great incentives.
Citi Research: Gold may fall to $ 1,700 in the fourth quarter
A recent Fed report showing that the US economy has shrunk slightly in August is thought to be mixed with signals. However, a number of Fed officials said this week, the slowdown in employment increase will not be frustrated this year.
Citi Research said in a note that despite the increasing macro risks, the Fed was not likely to remove the 2021 discount from the table, and that gold should fall around $ 1,700 in the fourth quarter. For more gold news Kriptokoin.comYou can examine the article “Famous Manager: This entity, this entity is stronger than gold!
