MUFG Group Predicts Gold to Reach New Record Highs due to Three Key Factors

© Reuters. MUFG Group expects gold to rise to new record levels

Arabictrader.com – The famous Japanese financial and investment group MUFG published a memorandum today, Thursday, that included its experts’ analysis of movements in the coming period, the factors supporting those movements, and future expectations for prices in the coming world. The most prominent aspects of the memorandum were the following:

• Gold saw a volatile move during the second half of 2023, falling in September before rising to a record high earlier this month.
• High interest rates usually negatively affect assets and commodities that do not bear interest or generate returns, so the starting point for interest rate cuts next year will be very important for the outlook for gold price movement.
• The group basically expects gold prices to rise significantly over the past year.
• Gold prices are set to reach new highs thanks to 3 factors; These are (the support that gold will receive as a result of the US Federal Reserve’s reduction in interest rates, and the significant support from the high demand for gold by global central banks, as well as the role of gold as a safe haven to hedge against the risks of escalating geopolitical tensions).

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2023-12-14 21:37:00
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