The strength of the US dollar and tightening of central banks weighed on the gold market for most of last year. XAU/USD awaits clarity on the Fed's easing path, according to ING economists.
Fed policy remains key for the price of Gold
The Federal Reserve's monetary policy will continue to be key to the outlook for Gold prices in the coming months.
Swap markets suggest investors don't see much chance of an interest rate cut until June. Our American economist agrees. This will support the Dollar and weigh on the price of Gold in the short term.
We expect Gold prices to remain volatile in the coming months as the market reacts to macroeconomic factors, following geopolitical developments and the Fed's rate policy.
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.
