The price of gold fell after the US Federal Reserve warnings about inflation, which indicated that fewer interest rates could be reduced this year, were about the demand for gold as a safe haven in the light of the increase in the Middle East. The immediate gold contracts were traded near the $ 3350 per ounce level, after falling 0.6% during Wednesday’s trading. The federal kept interest rates unchanged, and policymakers pointed to the possibility of two reductions by the end of the year, while council’s speaker Jerome Powell emphasized that the open market committee still expects prices to rise. Federal policymakers have also issued their new economic predictions – the first since the start of customs duties imposed by President Donald Trump in April – showing that they expect a slowdown in growth, an increase in inflation and a decline in employment figures this year. The high price of consumers can significantly reduce the chances of cash facilitation, which is a negative thing for gold, as it originally does not benefit. Geopolitical tension supports prices, but gold is still supported by continuous tension in the Middle East. Trump said Iran missed the opportunity to reach an agreement on its nuclear program, but it made no commitment whether the United States would join the Israeli attack. The increasing geopolitical tension, in addition to the state of economic uncertainty, has contributed to improving the demand for gold, especially in light of strong purchases of central banks and motivated to the revamped indicators, which have asked that the precious metal rise by about 30% since the beginning of the year. The immediate gold price fell by 0.5% at 2:21 p.m. to $ 3351.59. While the immediate Bloomberg index of the dollar increased by 0.2%. The price of silver fell by 1%, but it has been near the highest level since 2012, and Pacalium has also recorded a decrease. * Prices have been updated in the case to reflect the reality of the market
The price of gold drops due to federal warnings despite the dangers of the Middle East
