Gold Prices Unlikely to Surge Again This Year Amidst Pressure from US Dollar and Bond Yields
Gold prices have been on a downward trend in recent months, and experts predict that they are unlikely to experience another sharp increase by the end of the year. The price of gold has plummeted by nearly 50 million VND/ounce since its peak of over 190 million VND/ounce earlier this year.
The US dollar and bond yields continue to exert pressure on the gold market, while domestic buying power has weakened significantly. According to Kitco News, cooling US inflation data has reduced expectations of a Federal Reserve interest rate hike in October, but it has not been enough to prevent long-term US Treasury yields from continuing to rise.
This development highlights a noteworthy fact: the price of gold is no longer maintaining a one-way upward trend. The market is becoming more sensitive to changes in monetary policy and investment flows, making it harder for gold prices to surge.