The results of the survey on Wall Street show that the majority of investors and experts believe that gold prices will continue to increase next week. The main reason is that experts believe that gold is showing an adjustment trend after a sell-off from the high in September.
In addition, increasingly severe geopolitical tensions in North Korea have led investors to seek gold as a safe haven.
Experts predict that the USD will hardly maintain its upward momentum this week, although the FED previously left open the possibility of a third interest rate hike in 2017 in December, along with a statement that it will start selling bonds to support economic growth worth more than 4,000 billion USD from October this year. The USD index immediately recovered strongly, thereby putting pressure on gold prices to immediately decrease rapidly, falling below the 1,300 USD/ounce mark.
Of the 16 experts surveyed, 50% said gold would increase next week, 31% said gold would decrease and 19,9% did not comment.
In the Main Street survey, a total of 525 experts and investors, 45% predicted gold would increase next week, 39% thought gold would decrease and the neutral vote was 16%.
The world gold price (spot gold) is currently listed at 1287.10-1298.10 USD/ounce (buy in - sell out).
9999 gold price for December delivery on the New York Comex decreased by 2% for the week to 1.298.30 USD/ounce.
I think gold will recover next week, said Daniel Pavilonis, senior commodities broker at RJO Futures. Especially when the stock market plummets, it is a sign for investors to buy gold"
According to Sean Lusk, risk insurance commercial director of Walsh Trading, when gold prices fall below $1,300/ounce, investors will actively "hold in" as they predict gold will continue to increase in price.
Richard Baker, editor of Eureka Miner, predicts gold prices will reach 1,310 USD/ounce next week. He said the fall in gold prices last week was an "excessive reaction" to the Federal Reserve's communication withdrawing from the central bank's balance sheet and leaving open the possibility of a rate hike in December.
"military tensions between the United States and North Korea, especially the threat of large thermal bomb explosions in the Pacific Ocean, will cause investors to rush to buy gold," Mr. Cooper said.
