Gold Prices Dip to Their Lowest Level in 8 Weeks

Forex - Following Trump's election victory, the price of gold per ounce has fallen to its lowest level in eight weeks. Amid uncertainty regarding the pace of the Fed's rate cuts, the strength of the US dollar and rising Treasury yields have pressured gold, which saw a price of $2,559 this morning. The last time gold reached this level was on September 19. Currently, gold is trading at $2,561.40 per ounce, down 0.5% from yesterday.

Analyst Kyle Rodda from Capital.com stated, "Gold is currently being pushed by the dollar and yields, creating this mechanical decline in the short term. Although the inflation data released last night suggests that the Fed may lower rates somewhat next month, expectations for higher inflation and consequently fewer rate cuts next year are driving the market." Analysts are indicating a support level for gold at $2,552. If this level is broken, the next target could be $2,530. The first resistance above is at $2,588.