Gold prices continue to recover, and the dollar’s rise curbs gains

Last Updated on September 28, 2021

Gold prices rose slightly during today’s trading session in the European market, to maintain their daily gains for the second consecutive session. This rise came in an attempt to recover from the lowest level in six weeks recorded earlier in trading and was supported by renewed levels of investment demand for the metal as a safe haven in light of Continuing fears of the Chinese company “Evergrand” crisis.

Gold prices settle below $1750

Gold prices

At exactly 09:45 GMT, the spot price of gold was up by about 0.55%, to trade the price of an ounce around the level of 1760.80 US dollars, from the opening level of the trading session at 1751.18 dollars, and the lowest price was at 1748.22 dollars per ounce.

While gold settled in US futures contracts unchanged to remain at the level of 1758.23 dollars an ounce.

At the conclusion of yesterday’s trading, the precious metal “gold” managed to achieve a gain of 0.5% in the first daily gain during the last three sessions, as prices received more support recently thanks to the rebounds from the lowest level in six weeks at 1737.64 dollars per ounce recorded earlier. from the previous day.

On the level of trading last week, gold prices recorded losses of 0.25%, in the third consecutive weekly loss, after the Federal Reserve, the “US Central”, strengthened the prospects of imminent tightening of monetary policy.

It is worth noting that the current rise in gold levels comes thanks to the increasing levels of investment demand for the metal, as it is one of the best safe havens, especially in light of the continuing fears surrounding the crisis of the Chinese company Evergrande, after the largest real estate company in the world missed a deadline last week to pay bond interests, With a new due this week.

The US dollar continues to rise

The US dollar index rose during today’s session by about 0.25% to continue its gains for the second consecutive session, close to touching its highest level in five weeks at 93.52 points.

The dollar index managed to achieve over the past week a gain of 0.1%, to record its third consecutive weekly gain, thanks to the activities of the Federal Reserve meeting.

The yield of the ten-year US Treasury bond rose during today’s session by about 2.75%, in the third consecutive daily gain, thus recording its highest level in three months at a rate of 1.498%, in light of the strong prospects that the Federal Reserve is close to tightening US monetary policy.

Two members of the US Federal Reserve’s monetary policy officials said on Friday that they feel the US economy is doing well enough to begin reducing monetary support for the economy.

Professional Trader and Analyst, economist in Financial and Forex marketsince 2004.holds an MBA from the American University in Egypt. Mohammed works as an economic writer and technical & fundamental analyst for many international Forex and financial trading companies in both English and Arabic on a daily basis.
Mohammed Abdelkhalik

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