Milliyet.com.tr/ Monetary and commodity markets continue to closely monitor developments in the United States. In recent weeks, the Federal Reserve has kept interest rates unchanged. Market morale has been boosted, especially by the recent US inflation figures, which came in lower than expected.
Former Fed official’s message on rate cuts
Old St. Louis Fed President James Bullard said he expects the pace of easing U.S. monetary policy to be slow but that the latest inflation data is raising expectations for a rate cut in September.
Gold price direction changes
The price of gold per ounce, which had been on an upward trend throughout the week, rose to $2,368 on Friday. The sharp increase in gold per ounce in particular led the price of gold per gram in the country to reach 2,503 liras on Friday. The rise in the dollar/TL also had a positive impact on the price of gold per gram.
However, as U.S. markets opened on Friday evening, selling deepened in gold ounces, falling to a low of $2,316 an ounce before finishing the week at $2,322.
Due to the easing of the gold ounce price, the gram gold price fell to 2,444 liras, thus recording a drop of more than 50 liras per gram of gold, exceeding 2,500 liras in one day. The gram gold ended the week at 2,450 liras.
What is the reason for the withdrawal?
The global dollar’s strength, especially on the final trading day of the week, has changed the direction of the precious metal gold. The dollar index, which tracks the movements of the currencies of the six major industrialized nations against the dollar, rose to 105.915 on Friday. The recovery of the dollar index has weighed on gold prices.
