Gold prices rose thanks to cheap purchases today, Wednesday, after the metal fell to its lowest level in nearly two months in the previous session. Spot gold rose 0.4% to $2,607.99 per ounce after hitting its lowest level since September 20 yesterday, Tuesday. .
Gold futures in the United States rose 0.3% to $2,613.90.
The US dollar index fell by 0.1% after rising to its highest level in more than six months against major currencies.
Analysts said: Gold witnessed a significant decline after the elections and now looks attractive again for gold investors in the medium term… (The US central bank) is still on track to cut interest rates, but also remember that they have already slowed from 50 basis points to 25 basis points.
The US central bank cut interest rates by a quarter of a percentage point last week and traders now see a 62% chance of a 25 basis point cut at the central bank’s December meeting, versus 70% a week ago, according to CME’s FedWatch tool.
Last week, bullion recorded its steepest weekly decline in more than five months, as markets digested the repercussions of Donald Trump’s victory and its potential impact on US interest rate expectations.
Markets are now focusing on the US Consumer Price Index data, with the Producer Price Index, unemployment claims and retail sales also scheduled to be released this week, along with statements from Federal Reserve Chairman Jerome Powell and other US central bank officials.
