This week, world gold prices have repeatedly exceeded the mark of 2,000 USD per ounce. Closing the trading session on November 24, each ounce was priced at 2,002 USD.
In total for the whole week, prices increased by more than 1%. This is the second consecutive week that prices have gone up, due to the weakening of the USD as investors bet that the US Federal Reserve (Fed) has completed raising interest rates.
Kitco News 's latest survey of analysts, bankers and gold traders shows that optimistic sentiment may continue into next week. 54% of survey participants forecast price increases, 15% expected prices to decrease and 31% thought prices would move sideways.
Mark Leibovit - editor of VR Metals/Resource Letter magazine - predicts that prices may continue to increase next week, when the USD weakens. He also believes that precious metals will even reach a new peak in 2024.
World gold prices exceeded the 2,000 USD mark many times last week.
Sean Lusk - Director of Risk Prevention at Walsh Trading - sees the market as being too optimistic that the Fed is about to cut interest rates. However, he still forecasts that precious metals will continue to increase. "There will be a wave of buying safe assets. I think the gold price is gaining momentum. The current situation still has many uncertainties. That's why the price is going up," he explained.
From a technical perspective, Lusk sees price resistance around $2,060. "If it holds above the 200-day moving average, which is $1,920, the market will enter the price range of $2,075 - $2,160," he said.
Meanwhile, Frank McGhee - Director of Precious Metals Trading at Alliance Financial said that gold is being bought too strongly and the markets are misjudging some important factors. "I think the trading volume is too thin, causing the market to be distorted. The current upward momentum is difficult to maintain. I would not be surprised if the price drops by 40-50 USD when geopolitical tensions begin to subside. heat," he said.
Adrian Day - Chairman of Adrian Day Asset Management - still maintains the same opinion as last week, that the market is currently unlikely to fluctuate. "I still feel cautious when the gold price exceeds 2,000 USD. We still have another meeting of the Fed this year," he said.
Next week, the US will receive reports on consumer prices, manufacturing, and housing. These figures all have the ability to influence the Fed's decisions.
According to the CME FedWatch Tool, the market currently predicts the Fed will keep interest rates unchanged at next week's meeting. Meanwhile, the possibility of lowering interest rates from the middle of next year is 64%.
Ha Thu (according to Kitco, Reuters)
