In November, the price of Gold recorded its biggest monthly drop in more than a year, falling 3.7%, says Commerzbank commodities analyst Carsten Fritsch.
Gold ETFs recorded outflows
“However, this was preceded by four months of stronger increases in some cases. Furthermore, the decline in November began from a record level in late October. The price drop occurred mainly in the first half of the month because the dollar “The US dollar appreciated significantly after Donald Trump’s electoral victory.”
“This was based on the expectation that inflation in the US would increase due to the expected policies of the US president-elect, which would likely lead the US Federal Reserve to adopt a more monetary policy. restrictive. However, this is not entirely certain. The price of Gold recovered somewhat in the second half of November due to increasing geopolitical risks.”
“Gold ETFs tracked by Bloomberg recorded net outflows of 27 tonnes in November for the first time in six months. However, compared to outflows of 114 tonnes following Trump’s first election victory in November 2016, these were still limited. “
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
