The current gold price is trading at around $2,660 per ounce, with a slight fluctuation due to various economic and geopolitical factors.
2. How has the gold price changed recently?
The gold price has seen a slight dip following healthy US jobs data, but it remains within a familiar trading range. It has also rebounded from daily lows and is flirting with $2,670 per ounce.
3. What factors are influencing the gold price?
Several factors are influencing the gold price, including safe-haven demand due to ongoing conflicts in the Middle East, such as the Iran-Israel conflict. Additionally, the US labor market data and interest rate expectations are also playing a role.
4. How is the US dollar impacting the gold price?
The US dollar's strength has offset some of the safe-haven demand for gold, but the precious metal remains supported by persistent geopolitical risks. The path of least resistance for gold is still to the upside, close to its all-time peak.
5. What is the historical context of the gold price?
Gold has increased significantly since the beginning of 2024, rising by 28.90% to $2,660.56 per ounce. Historically, gold reached an all-time high of $2,685.49 in September 2024.
6. How is the global economy affecting the gold price?
The global economy's mixed outlook, with a sharp contraction in the US manufacturing sector and softer factory gate prices, has provided room for the Fed to continue lowering interest rates. This could further support gold prices.
7. What are the future predictions for the gold price?
Gold is expected to trade at $2,679.92 by the end of this quarter and $2,775.81 in 12 months' time, according to Trading Economics' global macro models and analysts' expectations.
