Gold price today October 12: Soared again after PPI report
Updated
The PPI index will be an indicator of the price sold to consumers in person (Consumer CPI index) will also increase accordingly. This will work strongly to determine interest rate increases by the US Federal Reserve (Fed).
Tonight (December 10), the US will announce the CPI index. Experts say that if the CPI index also increases, at the upcoming meeting in early November, the Fed will increase the basic productivity point by 0.25%. emission mechanism is moving towards the 2% target.
Normally, when the Fed predicts an interest rate increase, gold prices will decline. However, this time the price of gold has increased sharply. Introducing that, if the Fed continues to raise interest rates, there will be increased risk to the US economy.
Rising inflation will also cause people to tighten spending, which in turn may cause businesses to shrink production. Therefore, the US economy may fall into recession but not have a "soft landing" as predicted. With the above analysis, investors have returned to buying gold, attacking the risk of capital flows.
Tonight (December 10), the US will announce the CPI index. Experts say that if the CPI index also increases, at the upcoming meeting in early November, the Fed will increase the basic productivity point by 0.25%. emission mechanism is moving towards the 2% target.
Normally, when the Fed predicts an interest rate increase, gold prices will decline. However, this time the price of gold has increased sharply. Introducing that, if the Fed continues to raise interest rates, there will be increased risk to the US economy.
Rising inflation will also cause people to tighten spending, which in turn may cause businesses to shrink production. Therefore, the US economy may fall into recession but not have a "soft landing" as predicted. With the above analysis, investors have returned to buying gold, attacking the risk of capital flows.
Comment
BUY GOLD 1965 - 1967TP1: 1975
TP2: 1980
SL: 1957
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