Gold traded flat around $1780 an ounce on Tuesday, consolidating 7-week lows touched earlier in the week as market participants continue to monitor a sharp shift in the Fed’s approach to managing the US economic recovery after the central bank signaled last week that it may raise interest rates twice by late 2023. Meantime, in prepared remarks for Tuesday testimony before the House Select Subcommittee on the Coronavirus Crisis Fed Chair Powell said the US economy continues to show “sustained improvement” and forecast further job market gains and a decline in inflation from current elevated levels, but did not say anything about the tapering debate. On the bond markets, US 10-year bond yields lifted from 4-month lows to 1.497%.
Historically, Gold reached an all time high of 2074.88 in August of 2020. Gold - data, forecasts, historical chart - was last updated on June of 2021.
Gold is expected to trade at 1813.78 USD/t oz. by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1970.98 in 12 months time.