Gold Price News: Market shows strength amid continued global uncertainty

On the morning of September 20, 2020, gold opened at approximately $2,590.00 per troy ounce and saw an increase to $2,607.00 per troy ounce over the course of the morning. This development shows the resilience of the gold market in the face of volatile global economic conditions and loose monetary policy. The latest increase is partly due to expectations of further interest rate cuts, which will weaken the US dollar and make gold more attractive.
 

The Federal Reserve's recent monetary policy decisions, which point to a further easing of interest rates, are playing a significant role in the current rise in gold prices. Analysts expect the price of gold to continue to rise until the end of 2024. Analysts' current forecasts indicate that an increase in the gold price to an average of USD 2,500.00 per troy ounce in the fourth quarter of 2024 and to USD 2,600.00 per troy ounce by the end of 2025 seems realistic.
 

Demand for gold remains extremely strong due to its role as a hedge against uncertainty. Robust demand, coupled with supply bottlenecks for the precious metal, continues to contribute to a bullish outlook for the gold market. These supply bottlenecks are exacerbated by rising extraction costs and production challenges, which keep prices high.
 

In view of the ongoing global uncertainties and expected monetary policy developments, the gold market is expected to remain strong. Investors should closely monitor the upcoming economic indicators and central bank policy decisions, as these factors will have a significant impact on the price development of gold.