Strategy at the beginning of the week, gold increased slightlyWorld gold prices tend to increase with spot gold increasing by 2.3 USD compared to last week's closing level to 2,329 USD/ounce.
World gold prices this week are forecast to have a lot of fluctuations when the market receives a lot of important information, including the purchasing management index report in the manufacturing and service sectors, and the number of applications reported. unemployment benefits and non-farm payrolls report for May. In addition, investors will also closely monitor developments and interest rate decisions of the Bank of Canada and the European Central Bank. Central banks' decisions this week may cause the market to recalculate the timing and scale of interest rate easing by the US Federal Reserve (Fed).
Recently, in the context of economic instability, persistent inflation combined with geopolitical tensions and rising interest rates, gold prices have had a notable surge. At the end of May, this precious metal broke the record level reached in mid-April exceeding the mark of 2,400 USD/ounce. However, the price of this precious metal has turned down due to strong economic data combined with "hawkish" statements from Fed officials.
A recent article on CBSnews gave reasons why investors should buy gold when prices fall. According to the article, June is the right time to buy gold. Accordingly, after conquering the all-time high of 2,439.9 USD/ounce, gold has dropped more than 100 USD. The sharp decline in prices provides favorable opportunities for those who want to buy gold at a relatively lower price. Besides, short-term fluctuations in gold are difficult to predict. Therefore, it is unlikely that current price levels will last as gold prices could recover or even surpass previous record highs within days or weeks. Therefore, the advice is that investors should not miss the opportunity to buy gold at lower prices.
