- Gold is affected by the appreciation of the dollar.
- Markets throughout the world fall, volatility rises.
He Gold is trading around $ 1880, near the same area where it closed on Friday. In the during, it traded above $ 1900 for the first time in weeks and then plummeted to $ 1854. Initial momentum was later reduced by the appreciation of the dollar.
The greenback climbed strongly on all fronts before a sharp fall in the bags. In Europe, the main markets fall more than 3% while Wall Street futures point to an opening with decreases greater than 1%.
The spread of a new strain of coronavirus For England, more restrictions on circulation and the cessation of flights from several countries to the United Kingdom was behind the change of mood in the markets. On the positive side, a new fiscal stimulus of up to 900,000 million dollars was agreed in the US, which would be approved today.
The climate of fear in the markets triggered sharp falls and volatility. The case for gold was extreme, moving between the high and low over $ 50 in a few hours. The initial momentum at the start of the week that took it up to $ 1908, then was followed by a crash. The dollar is rising on all fronts with the DXY hitting 91.00, the highest in a week, rebounding after falling to two-year lows last week.
The panorama is complex for gold. The bullish moment has suffered a severe blow, but at the same time it moved away from the lows. The short-term uptrend meets risk aversion.
Technical levels
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
