Price of gold collapsed

Gold prices at the bidding on September 16 are increasing more than two percent. The price of the December futures on the stock exchange in New York at the time of writing news collapsed to $ 1754.7 for the Troyan Oz, at a minimum cost was $ 1745.5.

Metal is cheaper against the backdrop of the publication of statistics from the United States, RIA Novosti notes. Thus, the Ministry of Internal Affairs of the country reported on retail sales in August contrary to the forecasts of analysts about the decline, as a result of which the dollar rate against other major currencies is growing.

In addition, next week a meeting of the US Federal Reserve System is expected, which also affects the price of gold, writes Reuters. Many regulator representatives support the collapse of measures to stimulate the economy. According to the analyst of Peter Fertiga from Quantitative Commodity Research, gold forecasts are not too optimistic.

The cost of metal is usually evaluated in American currency. The price of gold and dollar have an inverse relationship – the more expensive than the dollar, the cheaper gold, since the metal is becoming more expensive in other currencies, and this reduces demand.

In the middle of August, analysts of the Financial Holding of UBS Global Wealth Management called on investors to review the investments in precious metals, referring to the strengthening of the American currency and restoring the economy from the effects of a pandemic. At the beginning of the year, gold was traded at $ 1900 per ounce.

/Media reports.