Gold News

Amid some relaxation of global trade tensions, the gold market is experiencing a relatively mild correction. The price of the main precious metal has fallen from last month's highs, but is still above the support level of $3,300 per ounce.

As of Thursday, May 22nd, gold prices have reached a 2-week high. Investing experts attribute the increase to the worsening US government debt issue and escalating geopolitical tensions in the Middle East.

Robert Kiyosaki, a renowned investor and author of the best-selling book "Rich Dad, Poor Dad", reached out to the crypto community on social media. His message was both positive and negative.

Despite the temporary trade truce between the US and China, Asian authorities are continuing to leverage gold to fulfill their long-term global de-dollarization goal. As Syz Group believes, the PRC is steadfastly pursuing a financial strategy to reshape the international monetary order.

According to a report by River financial company, the number of Americans who own bitcoins has surpassed the number of gold holders. The study showed that 50 million US citizens have purchased bitcoin, while 36.7 million people own gold.

Reuters reports gold prices rose to their highest level in a week on Wednesday amid a weaker dollar and increased demand for safe-haven assets due to uncertainty in the US fiscal policy. Congress is currently debating a sweeping tax bill.

A slight strengthening of the dollar after its yesterday's drop triggered by Moody's downgrade of the US credit rating along with expectations of reduced geopolitical tensions in Eastern Europe have pushed gold prices lower. Both factors are dampening demand for the asset, Reuters reports.

According to SBC Gold, the exponential increase in the price of gold to $3,500 per ounce has led to expectations of further growth. Some optimistic experts predict that prices will reach $5,000 per ounce.

The Indian gold market softened in April amid mixed demand during the country’s traditional festival period and active redemptions from gold-backed ETFs. However, Kavita Chacko, Head of India Research at the World Gold Council (WGC), notes that imports remained steady.

Economists at the European Central Bank (ECB) say that gold markets could endanger the financial stability of the eurozone in the event of a geopolitical crisis. The greatest threat is posed by demand for physical settlements, the dominance of large traders, and non-transparent transactions.