Gold prices reverse and increase sharply, investors suddenly pour money to bottom-fish

Song Anh |

Gold prices exceeded 4,100 USD/ounce as bottom-fishing cash flow returned, although US bond yields, oil prices and Fed expectations still put pressure.

World gold prices continued to increase in the trading session on July 22, regaining the above 4,100 USD/ounce zone after many volatile sessions.

The recovery of precious metals takes place in the context that the market is still simultaneously monitoring many impacting factors such as the developments of conflicts in the Middle East, fluctuations in oil prices and monetary policy expectations of the US Federal Reserve (Fed).

In the opposite direction, factors that often put pressure on gold are still maintained at a high level. US 10-year government bond yields stood around 4.63%, 2-year term yields were at 4.261%, while the USD index fluctuated around 101.22 points. Brent and WTI oil prices were also around 91.01 USD/barrel and 84.91 USD/barrel respectively.

According to market data, the amount of gold held by ETF funds increased by about 7.4 tons in the most recent session. In the futures market, CFTC data also showed that fund managers have increased net buying positions for gold.

The market is currently continuing to focus on the Fed's policy meeting next week. Expectations for the interest rate roadmap are still one of the factors that have a major impact on the developments of gold prices in the short term.

The precious metals market also recorded green in today's trading session. Spot silver also increased by 1.75% to 59.79 USD/ounce, showing that cash flow is returning to the precious metals group after a period of strong correction. Meanwhile, platinum prices increased sharply by 2.34% to 1,667.29 USD/ounce and palladium increased by 3.16% to 1,322.00 USD/ounce.

Song Anh
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