Sharp Fluctuation in Gold Prices Amid Global Markets and Inflation Concerns
While spot gold fluctuates due to oil surges and inflation risks, gram gold started the day at the level of 6,828 TL.
In global markets, spot gold prices are following a volatile course alongside the increase in oil prices and rising inflationary risks. As gram gold started the day at 6,828 TL in the spot market, developments in the US and central bank policies remain in the focus of the markets.
Weekly Loss in Spot Gold
Spot gold, which lost 1.14% in yesterday's trading in global markets, closed at $4,355. In early trading today, the spot price tested a one-week low at $4,341.
Geopolitical Risks and Oil
The escalation of clashes between the US and Iran and oil prices approaching $100 once again reduced the risk appetite for the yellow metal. Supply concerns have revived inflation pressures in the global economy.
FED Rate Expectations
The yield on the 2-year US Treasury bond headed toward the 4.40 level. While markets await Friday's August CPI data, the probability of an interest rate hike, which was below 58% yesterday, rose above 60%.
Central Bank Purchases
The People's Bank of China added approximately 20.2 tons of gold to its reserves in August. The uninterrupted purchases indicate a desire to reduce dependence on the dollar and diversify reserves.
Critical Support Levels
The one-week low and high levels of $4,282 and $4,510 are being monitored for spot prices. The 50-day moving average of $4,305 stands out as a critical indicator.