Abstract:On Monday, gold prices continued retreating in Asian markets while trimming early losses below $1,900 to $1,882 in U.S. markets.
WikiFX News (22 Sept.) - On Monday, gold prices continued retreating in Asian markets while trimming early losses below $1,900 to $1,882 in U.S. markets. The yellow metal may be hampered by the massive selling for its price is recently more sensitive to bad news than good news.
The University of Michigan said its U.S. consumer sentiment index in September rose to 78.9, the best level since March. The data indicates that consumers hold positive expectations about the country's economic prospects.
Kaplan, president of the Dallas Fed, predicted the U.S. will see an economic recovery next year and the unemployment will likely approach 3.5% by 2023. These hawkish words catalyzed the DXY up above $93.50.
Pressed by the strengthening greenback, the intraday price of gold kept declining after a rally to $1,955. Moreover, the Trump administration has softened its stance on Tiktok, which also weakened the markets' safe-haven demand for gold.
The Fed Chair Powell will testify before Congress this Wednesday and Thursday. He is generally considered to reiterate the views that economic prospects will rally and fiscal policy is of vital importance, which could further strengthen the U.S. dollar and send gold prices lower.
All the above is provided by WikiFX, a platform world-renowned for foreign exchange information. For details, please download the WikiFX App:
bit.ly/WIKIFX
Chart: Consumer Sentiment Index
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
Gold trading inside the previous day’s range - investors wait for US PMI
Gold on the front foot this week- consolidates ahead of ECB meeting, US inflation data
Trade Gold with GemForex
Gold has been a classic investment option for centuries and is commonly used as a hedge against inflation and a reliable wealth storage medium. Gold offers a good investment opportunity that is often less focused on short-term profits, making it one of the top long-term investment options. On the other hand, forex trading is the speculation on currency prices for potential profits. A forex trader can profit from up and down price movements in both short and long term.