“Secrets Behind Gold’s Strong Rise Amid Banking Crisis and US Recession Fears”

Investing.com – It rose by nearly a full point, to trade at $2056.35 levels, with a very violent fall in yields.

The secret of the strong rise of gold

1- The two-year Treasury yields fell to 3.7450%, down by 4.9%, while the 10-year Treasury yields fell by 1.65% to 3.347%. The American is now recording 101.102 against a basket of foreign currencies.

2- These moves come with the issuance of expectations from analysts of JP Morgan (NYSE:) that the US Federal Reserve may be forced to cut interest rates in September if the United States falls into a recession as the banking crisis continues.

3- The probability of the US economy falling into a recession is now 70%. Jerome Powell, Chairman of the US Federal Reserve, did not deny, after the decision to raise interest rates by 25 basis points to 5.25%, that monetary tightening in addition to credit restrictions may push the US economy into recession, but he said that it is an avoidable scenario, referring to the strength of the labor market.

4- The American banking crisis worsened today, as the stocks of many American banks witnessed a strong decline, which prompted the issuance of many news reports on the study of Buck West and Western Alliance banks receiving offers to sell to protect themselves from collapse due to their weak financial soundness and the rise in outflows of deposits.

5- FED SWAPS data revealed expectations of a rate cut in .

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