We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
Mixed
USD/JPY
Bearish
Gold
Mixed
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.34% 🇨🇭CHF: 0.17% 🇪🇺EUR: -0.05% 🇨🇦CAD: -0.35% 🇦🇺AUD: -0.95% 🇳🇿NZD: -0.96% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/33EP1DeeuH
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Gold: 0.69% Silver: -0.10% Oil - US Crude: -0.74% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/J4wTEmtAXA
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.56%, while traders in US 500 are at opposite extremes with 67.46%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/XboitD6oGi
  • The $AUD came into the New Year clinging to a very visible bullish trend. While the currency had a rather rough first nine months of last year. Get your AUD/USD technical analysis from @JStanleyFX here: https://t.co/HrLlgqvibu https://t.co/efoZc6VjGC
  • The US #StockMarket is on pace to close markedly lower to start the week with less than 30-minutes left in today's #trading session as #Coronavirus fears roil Wall Street S&P 500: -1.46% Dow Jones: -1.45% Nasdaq: -1.80% Russell 2K: -0.73% VIX: +22.25% $SPX $DJI $NDX $RUT $VIX
  • #Bitcoin Daily Pivot Points: S3: 7768.5 S2: 8055.53 S1: 8177.32 P: 8342.56 R1: 8464.35 R2: 8629.59 R3: 8916.62
  • The #Dow Jones remains elevated as tech and defensive sectors underpin the index. However, we see caution in chasing the market higher amid rising risks of a potential correction. Get your market update from @JMcQueenFX here:https://t.co/3klcZ6CHpe https://t.co/3xvxNNWb2O
  • RT @MarketWatch: Economic hit from coronavirus likely to be short lived, but it’s still ‘a little scary, frankly’ https://t.co/NyB3DCRpGS
  • Know the Slope. . . $SPX500 Daily - https://t.co/FoBtqk9CYA https://t.co/nkmzVkx5p6
  • $EURUSD Daily Pivot Points: S3: 1.095 S2: 1.0993 S1: 1.1009 P: 1.1035 R1: 1.1051 R2: 1.1078 R3: 1.112
Gold Price Forecast for 2019 Remains Bullish on Divided FOMC

Gold Price Forecast for 2019 Remains Bullish on Divided FOMC

2019-10-05 19:00:00
David Song, Currency Strategist
Share:

Gold trades at its highest level since 2013, with the price for bullion climbing to a fresh yearly-high ($1557) in September.

In turn, the precious metal may exhibit a bullish behavior over the remainder of 2019 as market participants hedge against fiat-currencies.

The weakening outlook for global growth have pushed major central banks to shift gears this year, and the Federal Reserve may continue to alter the course for monetary policy as the US-China trade war drags on the economy.

FED Dot Plot Graph

The fresh updates coming out of the Federal Reserve suggest the central bank will continue to insulate the economy as a number of Fed officials see the benchmark interest rate around 1.50% to 1.75% ahead of 2020.

It seems as though the Federal Open Market Committee (FOMC) will keep the door open to implement lower borrowing costs as the central bank pledges to “act as appropriate to sustain the expansion.

However, a larger dissent may materialize within the FOMC as St. Louis Fed President James Bullard favored a 50bp rate cut in September, while Kansas City Fed President Esther George and Boston Fed President Eric Rosengren voted to keep the benchmark interest rate on hold.

A greater divide at the Fed may push market participants to hedge against fiat-currencies, and the price of gold may exhibit a more bullish behavior over the remainder of the year on the back of falling interest rates along with the inverting US yield curve.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.