FXTM: U.S. Dollar Thwarting Gold Prices
(401 G.C.) – Tuesday April 16, 2019 09:41
A resilient U.S. dollar is making it hard for gold to hang onto any gains, says Lukman Otunuga, research analyst at FXTM. Gold is under pressure Tuesday, falling $8.90 to $1,278.50 an ounce as of 9:12 a.m. EDT. “Broadly, global risk sentiment has been supported by China showing signs of stabilizing and hopes that the U.S.-China trade saga will conclude with a breakthrough deal,” Otunuga says. “However, with the ECB [European Central Bank] and the IMF [International Monetary Fund] warning that risks remain tilted to the downside, markets do not yet have the all-clear for charging into a risk-on side….Focusing on the medium- to longer-term outlook, gold remains protected by concerns over slowing global growth, Brexit, geopolitical risks and a dovish Federal Reserve. As long as these themes remain present, the metal still has ample upside potential.”
Posted by :
Jack Dempsey, President
401 Gold Consultants LLC
jdemp2003@gmail.com