Gold News

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.

On Monday, gold began to actively regain the previous week's losses, which were caused by easing global trade tensions. According to Investing, the rise in gold prices was driven by several factors simultaneously, including Moody's downgrade of the US credit rating.

According to Fox Business, many Americans have recently decided to sell their jewelry to take advantage of the record-high price of gold, which has surpassed $3,200 per ounce.

The US-China trade deal led to a slower growth of gold prices. Still, economists expect the yellow metal to rise further. Strategists at WisdomTree think gold prices will continue to grow as a result of strong demand from central banks and Chinese investors.