Gold Market Faces Selling Pressure
Recently, the price of gold dropped below the critical support level of $4900 per ounce, drawing significant attention from the market. Data shows that gold fell by 1.78% within the day, reflecting a noticeable shift in investor sentiment.
Key Influencing Factors
- Economic Landscape: Sluggish global economic recovery and high inflation in certain countries have impacted gold's appeal as a safe-haven asset.
- Geopolitical Shifts: Stabilization in certain regions has reduced market risk-aversion sentiment.
- U.S. Dollar Movement: A stronger dollar index has pressured gold prices, which are priced in dollars.
Outlook
Despite the short-term correction, most analysts believe that gold's position as a traditional safe-haven asset remains solid. Investors should focus on long-term trends while remaining cautious of market volatility.