Economist Mustafa Aşkın's Evaluation on the Fed, Interest Rates, and Gold Prices

Economist Mustafa Aşkın evaluated the Fed's decision to keep interest rates steady, which is closely monitored in global markets, and the impacts of this decision on gold prices and energy costs.

Economist Mustafa Aşkın stated that the Fed's decision to keep interest rates steady was in line with expectations, pointing out that the rise in global energy costs increases inflationary pressure. Stating that the Fed prefers to monitor economic developments in order to reach its 2 percent inflation target, Aşkın noted that the central bank's avoidance of clear forward guidance created anxiety in the markets amidst an environment of uncertainty. Aşkın emphasized that energy prices will be decisive in interest rate decisions in the upcoming period.

Stating that gold prices are directly affected by the relationship between oil, inflation, and interest rate policies, Aşkın said that high energy costs can lead central banks to raise interest rates and that this creates selling pressure on precious metals. Expressing that the 3,950-4,100 dollar range should be monitored for the short-term outlook in ounce gold, Aşkın stated that if ounce gold exceeds the 4,100 dollar level, the 4,250-4,300 dollar band could come to the agenda. Conveying that levels of 4,200-4,250 dollars could be seen in the event of a decline in energy costs, Aşkın noted that reaching the targets of 5,000 dollars and above, which came to the agenda at the beginning of the year, has become difficult under current conditions.