Recently, internationalGold priceAfter a thrilling roller coaster**, from a record high to a sharp pullback, triggeredInvestmentsandFinancial institutionsof widespread attention. There may be a combination of factors behind this volatility, among them:Federal ReserveofMonetary policyConsidered to be an important factor. This article will**Gold priceThe reasons for the sharp rise and then the sharp decline are to be emphasizedFederal ReservePolicy pairsGold priceimpact.
In the early morning of December 4, Beijing time, London spotIt broke through the $2,100 mark for the first time and touched $2,146$79 ounce all-time high, refreshedA record in the market. However, this momentum was soon replaced by a sharp pullbackGold priceAt one point, it fell below the $2020 ounce. This rapid fluctuation can be caused by a combination of factors.
First of all, the market pairsFederal ReserveCut interest ratesExpectations can be an important factor. InFederal ReserveAfter Chairman Powell's speech, traders may interpret this as:Federal Reservewill be turnedCut interest ratessignal, which may have stimulatedGold priceofHowever, if this expectation is too aggressive, onceFederal ReserveThe actual policy did not meet expectationsGold priceA sharp pullback is likely.
Secondly, changes in the global economic situation may also affectGold price。For example, worldwideEconomySlowing growth orFrictionand other uncertainties that may causeInvestmentswill be funded frommarket withdrawal, thus causedGold price
Finally,PoliticsFactors may also be rightGold priceMake an impact. For example,PoliticsTurbulence, war, ** war and other uncertain events may causeInvestmentswill invest fundsmarket, thus pushing higherGold price。However, once these events are resolved or the market overreacts to them,Gold priceIt may fall back.
In summary,Gold priceThe rapid volatility of can be caused by a combination of factors, including market pairsFederal ReserveCut interest ratesof expectations, globalEconomysituation, otherInvestmentsThe performance of the tool as wellPoliticsfactors, etc. ForInvestmentsunderstand the importance of these factors, and their impact on:Gold priceThe impact is critical.
So,Federal ReserveHow is it affectingGold priceWhat about it?First of all,It is a widely recognized safe-haven asset. When the market is rightEconomyWhen the outlook is uneasy, or when inflationary pressures riseInvestmentswill be inclined to buyin search of value preservation. So ifFederal ReserveTakeCurrencyAccommodative policy, lower interest rates or launchQuantitative easingmeasures, on the marketLiquiditywill increase,Investmentsmay transfer funds to:market, thus pushing higherGold price
Secondly,Federal ReserveofMonetary policyIt may also be through influenceU.S. dollar exchange rateto indirectly influenceGold price。In general, whenFederal ReserveCut interest ratesor launchedQuantitative easingmeasures when the dollar depreciates because of low interest rates and increasesCurrencyIt would weaken the attractiveness of the US dollar. Due toIt is denominated in US dollars, and the depreciation of the US dollar will make itamong othersCurrencyin more attractive, thus pushing higherGold price
However, it is important to note thatFederal ReserveofMonetary policyNot reallyGold priceThe only influencing factor. other factors, such as globalEconomysituation、GeopoliticsRisksInvestmentsEmotions and so on, may also be rightGold priceMake a big impact. Therefore,Investmentsis ongoingGold price**, you need to consider a variety of factors and pay close attention to the dynamics of the market.
Gold priceThe sharp rise and fall of the year is due to a combination of factors. The Fed's monetary policy expectations are considered to be one of the important factors. When the market expectsFederal Reservewill be takenCurrencyEasing policy,Investmentswill flow inmarket, push higherGold price。However, if the market's expectations are too aggressive, the actual policy does not match the expectationsGold priceA sharp pullback is likely. ExceptFederal Reservepolicy, globalEconomysituation、Politicsfactors, etc., may also be rightGold priceMake a big impact. Therefore, understanding the role of these factors is important for:Investmentsis crucial.