Gold prices stabilize at the lowest level in 3 weeks

Mohammed Abdelkhalik
November 24, 2021
Gold prices

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Gold prices witnessed stability during the European market trading session today within a narrow range of transactions. In light of the reluctance of investors to build any new purchasing positions in gold, in anticipation of many important economic data in the United States, In addition to the release of the minutes of the last meeting of the Federal Reserve, which is supposed to provide any new indications about the future of tightening US monetary policy.

Gold prices stabilize at the support level

Gold prices

At exactly 10:45 GMT, the spot price of gold was stable without change, to trade around the level of 1789.26 US dollars an ounce, from the opening level of today’s session at 1789.31 dollars, and the highest price was at 1796.36 dollars an ounce.

While gold in US futures contracts decreased by about 0.1%, recording the level of 1793 dollars an ounce.

It is noteworthy that the precious metal, “gold”, had finished trading on Tuesday, down 0.9% in the second consecutive daily loss, thus recording its lowest level in three weeks at $1,781.95 an ounce, as prices were recently affected by the broad rise in the US dollar index against most currencies. Globalism.

In contrast to the strength of the dollar’s ​​performance, and what negatively affected gold’s recent movements was the apparent slowdown in the levels of investment demand for the metal as the best inflation hedge, which led to prices quickly abandoning trading above the psychological barrier of 1800 dollars an ounce.

Expected economic data

During successive times today, market participants are awaiting many important economic data in the United States, in addition to the release of the minutes of the latest monetary policy meeting of the US Federal Reserve to obtain more indications about the date of the first increase in US interest rates.

Where it is scheduled at 13:30 GMT to release the final reading of the GDP during the third quarter of the current year 2021, and analysts’ expectations indicated a growth rate of 2.2% from a growth rate of 2.0% in the initial reading, and unemployment claims are issued at the same time. Weekly 259 requests are expected during the past week, compared to 268 thousand requests in the previous week.

At 19:00 GMT, the Federal Reserve will publish the details of its last meeting, which was held on 2-3 November, during which it indicated that it would begin to reduce the bond purchase program by 15 billion dollars per month.

Author Mohammed Abdelkhalik

Professional Trader and Analyst, economist in Financial and Forex market since 2004.holds an MBA from the American University in Egypt. Mohammed works as an economic writer and technical & fundamental analyst for many international Forex and financial trading companies in both English and Arabic on a daily basis.