On May 4, the US Federal Reserve revealed the federal funds rate for the next two months. Even though a 50 basis points hike was widely expected, the future is not so clear. Let’s figure it out bit by bit!
Precious Metals Market Analysis
Apart from inflationary pressures, all other factors were serving as tailwinds to gold after reaching $2000 in August 2020. But inflation along with the slowing global economy are the factors that make gold shining brighter.
Gold is one of the most popular trading assets in the world, with a several age history and an unbelievably large market capitalization of $11 trillion.
Two issues will determine who will have the upper hand in 2022: gold or the US dollar…
XAU/USD looks weak. Will it keep falling? Let's find out!
Usually, the gold price is driven by political and economic uncertainty, like economic crises, election pressure, pandemic effects. But in the face of year-and-a-half lasting monetary stimulus program the price of the haven asset acts differently.