GOLD (June 23) takes hit as global central banks confirm Fed's
The gold market was impacted on Thursday as central banks worldwide simultaneously pushed for hawkish policies, alongside Federal Reserve Chairman Jerome Powell's firm stance on two more interest rate hikes this year.
During his second testimony before Congress, Powell reaffirmed his commitment to two additional rate hikes after maintaining rates at the June meeting. "If the economy performs as expected, it would probably be appropriate to raise rates twice this year," stated Powell before the U.S.
Senate Committee on Banking, Housing, and Urban Affairs. "We are holding rates steady to allow more time for these decisions. We are committed to controlling inflation."
During his second testimony before Congress, Powell reaffirmed his commitment to two additional rate hikes after maintaining rates at the June meeting. "If the economy performs as expected, it would probably be appropriate to raise rates twice this year," stated Powell before the U.S.
Senate Committee on Banking, Housing, and Urban Affairs. "We are holding rates steady to allow more time for these decisions. We are committed to controlling inflation."
Comment:
⭐️Make a trading plan:
✅Buy order in the $1,898-$1,902 price zone when the support zone is approached.
✖️Stoploss: $1,895.
✅Sell the $1,938-$1,942 range when the price hits the resistance area.
✖️Stoploss: $1,945.
AND ALWAYS REMEMBER WHAT YOU NEED TO DO IS MANAGE RISK. GOOD LUCK !!!
✅Buy order in the $1,898-$1,902 price zone when the support zone is approached.
✖️Stoploss: $1,895.
✅Sell the $1,938-$1,942 range when the price hits the resistance area.
✖️Stoploss: $1,945.
AND ALWAYS REMEMBER WHAT YOU NEED TO DO IS MANAGE RISK. GOOD LUCK !!!
Other central banks are joining Powell's hawkish stance. In a surprising move, the Bank of England raised its main interest rate from 4.5% to 5%, the highest increase since February, reaching the highest level since 2008. Recent data strongly indicate that inflation will continue. The market was taken aback by this action. Edward Moya, a senior market analyst at OANDA, said that the BOE's anti-inflation battle will force them to support the UK economy.
Norway's central bank also raised its interest rate by 50 basis points on Thursday, reaching the highest level in 15 years at 3.75%. Additionally, the central bank signaled another hike in August, with interest rates predicted to rise to 4.25% in the fall.