Tag
GOLD
Prices of gold futures dropped below $1,980, a crucial support level thanks to the dollar’s recent strength.
The yellow metal tends to usually rise in value on expectations of lower U.S interest rates.
The U.S Fed Reserve strategy now permits inflation to rise above its 2% target.
Gold was mostly on the defensive in the Asian session and most of the European trading.
Gold traders pull backed from Gold as the U.S dollar gained bullish momentum on Thursday morning.
Lending support to gold was the rising tally in coronavirus cases globally.
Gold prices have gained 24% this year, and likely to score more gains.
Gold prices lost about 4.5% in value this week after hitting a record peak of $2,072.50 on August 7.
MicroStrategy recently adopted Bitcoin as a treasury reserve asset to hedge against fiat inflation.
The plunge came as appetite for risk assets recovered thanks to a stronger greenback and real rates.
This marks gold's steepest daily decline in nearly five months.
PAX Gold (PAXG) is a crypto asset backed by Gold.