Gold Prices Soared
Gold prices soared on October 14. US inflation remained at high levels, causing gold prices to rise.
Gold rose sharply as investors focused on inflation, which remains high, as concerns over a reduction in asset purchases persist. Gram gold is testing its highest levels since July.
While inflation in the US came in at 5.4 percent on an annual basis in September, the median expectation of economists surveyed by Bloomberg was for an increase of 5.4 percent. FED policy makers have repeatedly stated that employment and inflation data are of great importance in determining the asset purchase reduction schedule.
In the minutes of the Federal Open Market Committee (FOMC) meeting held on September 21-22, the US Federal Reserve (FED) stated that the gradual reduction of asset purchases could begin in the middle of November or December, and it was noted that it should end in the middle of 2022. In the minutes, FED members, who raised their inflation expectations, stated that high inflation is still temporary. Some FED members, who have pointed out the temporary factors in the rise in inflation and predicted that inflation will recede in the medium term, started to receive different comments.
The ounce of gold, which climbed to $ 1,780 after the non-farm employment data on Friday last week, then fell back to $ 1,760 with a rapid retreat. Starting the new week with a flat course, ounce of gold has risen to $ 1,788 with an increase of more than 1.5 percent since the beginning of the week.
Gram gold started to rise gradually from mid-September after trading in a narrow price range for about 1 month as global gold prices and USD/TL balance each other. In addition to the rise in global gold prices, gram gold, which is supported by the record high levels of the USD/TL, will record the highest level of 2021 if it exceeds the peak it saw in July. At the time of writing, gram gold was priced around 528 TL.