Gold Prices Soar 16% in August on Fading Rate Hike Expectations

Gold prices have seen a significant surge in August, rising around 16% over the past month. According to Ajay Kedia, MD & Director of Kedia Advisory, several factors are contributing to this rally, including fading expectations of a US Fed rate hike and softer crude prices.

The easing of Middle East concerns is also supporting gold prices, as is continued Chinese demand and central-bank buying. Additionally, sustained ETF inflows and a weaker dollar index are helping to drive the price up.

As India enters its festive season, physical demand for gold is increasing, providing another boost to the market.