Fundamental analysis
27 April, 2022
During most of the European trade, the price of gold is at the level of this morning. Jerome Powell, chairman of the US Federal Reserve, said last week that he was in favor of raising the interest rate by half a percent, which, until recently, was not the case. There is also speculation that the Fed, at least according to the efforts of a number of decision-makers, could, at the next meeting on May 5, increase the interest rate by as much as 0.75% (which is less certain). That, along with the further growth of yields on long-term US bonds, keeps (currently) pulling the price of gold down. On the other hand, the International Monetary Fund, however, announced the day before yesterday that it expects much higher price inflation in the world, both this year and next. Last week, it was announced that the consumer price index (inflation) in the US, in March, rose 8.5% year on year (expected + 8.4%). Also, inflation is growing faster in the UK. At around 13:00, the price of gold is trading at around 1898 dollars per fine ounce, which represents a price drop of 0.43% since the close of trading on Friday.
