Investors expect gold prices to increase

Photo: CloseCross

Prices could go up An analysis of investors’ gold short-term trades by online trading platform CloseCross indicates that “55% are for the precious metal to increase in value between now and the end of September, while 20% anticipate a fall, and 25% foresee no change in valuation.”

 

Vaibhav Kadikar, the company’s chief executive, said in a statement that there “are several conflicting factors impacting the price of gold. It is sup-ported by persisting concerns about the Coronavirus crisis, a volatile global economic recovery, China’s regulatory crackdown measures, and increased geopolitical tensions.”

 

U.S. monetary policy is another key factor that impacts on the price of gold, Kadikar said, adding that any tapering of bond purchases or in-creased interest rates could cause it to fall.

 

“Inflation, which has been rising, will be one of the main drivers behind how monetary policies could change,” according to the chief executive.