Analyst: If the Federal Reserve confirms multiple rate cuts, the price of gold may reach new heights

BlockBeats News, September 17, Tuesday, driven by the weakening US dollar and the market's clear expectation of a Fed rate cut, the price of gold once soared to break through $3700 per ounce, hitting a historical high.

Exness strategist Eric Chia said, "If the Fed's policy guidance fails to meet the market's expectations for a dovish stance, gold may face selling pressure in the short term. However, as long as the Fed confirms multiple rate cuts, it will provide support for the upward trend in gold prices, potentially pushing it to hit a new all-time high."

In addition, continuous gold purchases by central banks, inflow of gold ETF (Exchange-Traded Fund) funds, and escalating geopolitical tensions have increased the market's demand for safe-haven and inflation-hedging assets, all of which have together supported this rise in gold prices. (Jin10)