Gold Under Pressure After US Fed Rate Cut: Will it Fall Further?

The gold market today is under explicit pressure due to a recent rate cut by the US Federal Reserve. The rate cut has raised concerns of an economic slowdown in the United States, which has in turn impacted the global gold market strongly. The bullion market is speculating over whether the gold rates will fall further or find a footing.nnIn the wake of this rate cut, the rising value of the dollar is inversely affecting the price of gold. Typically, as the dollar becomes stronger, gold becomes more expensive for other nations to purchase, which can decrease demand and thus lower gold prices.nnAnalysts are monitoring the situational development closely. If the pressure on gold rates continues, further dip in values can be expected. However, the volatile nature of the gold market may flip the coin any time. It is advisable for investors and traders to keep an eye on the market behaviour for making prudent investment decisions. Read More