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Gold Price Set to Shine Brighter in Year Ahead as U.S. Dollar Ebbs

 

“Until the end of the Fed’s rate hike cycle is complete, and institutional demand for gold increases, prices may be constrained” – HSBC. 

 

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The gold price changed little in 2022 but with the U.S. Dollar but with the U.S. Dollar showing signs of rolling over in recent weeks, it could yet get an opportunity to shine brighter in the year ahead and may even lead some recently-upgraded forecasts to be revised higher still.

Gold had appeared poised to rise significantly alongside energy and food commodities after the Russian military crossed into Ukraine back in February but the metal’s rally didn’t last for long and since then it has underperformed other commodities as well as the market’s better performing currencies. 

But recent inflation figures from the U.S. have partially reversed this year’s strong rally by the Dollar and since then gold has reached six-month highs.  

“Historically, USD levels have…

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