Gold will hit all-time high in 2023?

2023-08-11
Summary:

Gold prices are on track to rally to all-time highs in 2024 on the back of tapering interest rates. U.S. core CPI increased 0.2% for the second straight month, the first time since February 2021.

Gold prices are on track to rally to all-time highs in 2024 on the back of tapering interest rates. U.S. core CPI increased 0.2% for the second straight month, the first time since February 2021.


Other recent economic data has shown signs of a cooling labour market. Recent data showed the U.S. economy added 187,000 jobs in July, the fewest since December 2020.


Spot gold prices hit its intra-day record of 2,072.5 in 2020 and some analysts believe the precious metal will hit a new high beyond that level.

XAUUSD

Gold will rise above 2,100 in late 2023 or early 2024 as the Fed has almost won its inflation fight, said Bart Melek, TD Securities’ managing director and global head of commodity strategy.


UOB also forecasts that gold prices will set new records, but only by the second half of 2024, predicting that gold will trade at $2,100 per ounce then.


Markets are currently pricing in a 90% chance that Fed maintains its benchmark interest rate in a range of 5.25%-5.50% in September, the CME FedWatch Tool showed.


Chinese retail gold demand has been resilient in 2023 even as consumption of other commodities remained weak, Citi said in a July report.


Citi projects more than 700 ton of jewelry demand, up 22% from the same period last year, from China this year. central bank purchases of gold have also been strong, especially from BRICS countries.


Disclaimer: Investment involves risk. The content of this article is not an investment advice and does not constitute any offer or solicitation to offer or recommendation of any investment product.

Buy to Open vs Buy to Close: What Traders Must Know

Buy to Open vs Buy to Close: What Traders Must Know

Master the basics of Buy to Open vs Buy to Close in options trading. Discover when to use each order type and how they affect your trading strategy.

2025-04-03
How to Trade Oil: A Beginner's Guide to Crude Markets

How to Trade Oil: A Beginner's Guide to Crude Markets

Learn how to trade oil with this beginner’s guide. Discover key strategies, market insights, and common mistakes to avoid for crude oil trading success.

2025-04-03
Why Did NVIDIA Stock Drop? 5 Key Reasons Explained

Why Did NVIDIA Stock Drop? 5 Key Reasons Explained

Why did NVIDIA stock drop? Discover the reasons behind the decline, including investor sentiment, competitive threats, and the forecast for 2025 and beyond.

2025-04-02