Written by Gina Lee
Investing.com – It fell in Asian trading Monday morning, hitting its lowest level in more than five weeks. Meanwhile, consolidate while investors wait
It also fell 0.31% to $1,746.05 by 12:14 PM ET (4:14 AM GMT), after reaching $1.741.8, its lowest since August 12, earlier in the session. . The dollar, which usually moves in reverse with gold, rose on Monday.
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All eyes are on whether the Fed will announce the start of reducing asset purchases when it makes its policy decision on Wednesday. The central bank is also likely to release new economic forecasts and a fresh reading of officials’ expectations for rate hikes.
While Stephen Innes, managing partner of SBI Asset Management, told Reuters that investors are starting to think that the announcement of a reduction in asset purchases may be imminent and that there may be a shocking surprise in the point chart.
He added, “It really looks like the markets have turned completely bearish for gold, with some critical support levels, including $1,780 and $1,750, and I think that opens up to a test of the $1,700 level.”
Other central banks, including those in Japan, the United Kingdom, Switzerland, Sweden, Norway, Indonesia, the Philippines, Taiwan, Brazil, South Africa, Turkey and Hungary, will issue their policy decisions throughout the week.
As for other precious metals news, it fell 1.2% to $22.13 an ounce, after earlier hitting its lowest level since November 2020 at $22.01. Platinum fell to a ten-month low of $907.50, last falling 2.8%, while declining 3.5%.
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