Last week was a rollercoaster ride for gold prices with constant drops and rises. This week, the gold prices started off lower than last week’s average with a gold price of 1328.75 USD/oz. It was able to climb back up on Tuesday closing the day at 1331.97 USD/oz., but on Wednesday we hit a five-year low with a gold price of 1315.85 USD/oz. The gold price today is 1323.42 USD/oz.
What is Causing The Gold Price to Fall?
The price of gold is usually determined by supply and demand, but the main reason for the gold price falling this week is the American dollar. Since the value of gold is determined by the dollar, the stronger the American dollar becomes, the lower the price of gold will be. The American dollar has become stronger due to the American economy doing better, which means there is a prospect for higher interest rates. Right now we have a special promotion on our 50g Valcambi Gold CombiBar. This is our lowest premium ever on the 50g Valcambi Gold CombiBar.
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Do you think the gold price can recover from this week’s hit? Comment below and let us know what you think!