Gold prices in Pakistan today. Gold prices again soar high in global markets and As the dollar fell following the Bank of Japan’s unexpected policy change and markets took into account the prognosis for the US Federal Reserve’s interest rate plan, gold prices increased 1% to over the important $1,800 level on Tuesday.
As of 1253 GMT, spot gold was up 0.8%, or $1,801.66 per ounce. American gold futures increased by 0.9% to $1,814.30.
The dollar index decided to reevaluate its yield curve control policy in order to increase bullion’s appeal to foreign investors.
Han Tan, the chief market analyst at Exinity, stated that the dollar’s decline has given spot gold a second chance to shine and that “the next leg down for the dollar should drive spot gold onto a new cycle high over $1,824.50.”
He continued, “Traders and investors should maintain the precious metal well bid going into 2023, as markets brace for the possibility of a U.S. recession and the attendant Fed turn.”
Jerome Powell, the chairman of the Fed, stated last week that the institution will continue raising interest rates in 2019 despite the economy possibly entering a recession.
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Since its peak in March, the price of gold has fallen by more than $260 as central banks intensified their attempts to combat rising inflation.
Holding bullion that doesn’t pay interest has a higher opportunity cost as interest rates rise.
“On the chart, the $1,800 price level, which already had a reversal in August, continues to be a challenging place for purchasers.
However, as of right now, it appears like moving upward is still the path of least resistance, according to Capital.com market expert Daniela Hathorn.
While this was going on, China was dealing with an increase in COVID-19 cases, and the World Bank lowered its growth forecast for the top bullion consumer for this year and the following.
The greatest intraday gain since the end of November was recorded by spot silver, which increased about 3% to $23.63 per ounce.
Palladium rose 0.6% to $1,679.13 and platinum rose 1.6% to $995.88.