Page 12 - Bullion World Issue 9 January 2022
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Bullion World | Issue 09 | January 2022
Gold and Currency Outlook
for the year 2022
GOLD TO ADD GLITTER IN Mr Ram Pitre,
2022? Equity-Commodity & Currency
Spot gold (XAU/USD) prices are Strategist, ECO FIN Consultant LLP
consolidating close to monthly
highs just under the $1830 mark,
have jumped from earlier weekly
lows in the $1785 area after finding Despite a notable improvement in the market’s broader
support at the 21-day moving appetite for risk as Omicron-related fears about
average as US real yields slid. potential economic disruption and hawkish policy shifts
at major central banks including the Fed, ECB and BoE,
spot gold is on course to post a healthy monthly gain
of about 2.5%, having rebounded more than 3.5% from
earlier monthly lows under $1760.
The new year will be filled with uncertainty as the
Federal Reserve is likely to tighten its monetary
policies. At the same time, the inflation threat continues
to grow, which means real rates will remain in low to
negative territory.
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