Gold Prices Will See Terrible Levels in June!

4 analysts shared their estimates of what levels gold prices will see in June.

After the strong rise in 2020, gold prices have been under pressure so far this year due to rising US bond yields and the rise in the stock market. Gold tested its 10-month low on Friday after further slippage. So how is the trend in gold prices? According to analysts' estimates, gold prices will see terrible levels in June.   Nish Bhatt: We Expect Gold Prices to Move Horizontally in the Short Term Nish Bhatt, founder and CEO of Millwood Kane International, commented on the markets and stated that they expect gold prices to follow a flat course in the short term. Bhatt continued his explanation on the subject as follows: “After 2020, the precious metal has been losing value by more than 20% over the past few months from the high levels witnessed in August 2020. The decrease in gold prices in the domestic market is in line with the international. Market prices have declined due to higher US treasury yields making it more expensive to hold gold. The strength of the US dollar also makes purchasing gold expensive. Excessive exits from gold AFTs are also one of the reasons for the softness in gold prices. As the vaccination move around the world will lead to a complete normalization in economic activities, we expect gold prices to remain flat in the short term. Globally, the expectation of an increase in inflation due to excessive liquidity may help gold prices in the medium to long term.   Debajit Saha: Gold Prices Could See $ 1,605 In The End Of June or In The Beginning Of July Gold prices hit a 9-month low as investors sold it to reduce the opportunity cost of holding a non-returnable asset in global markets. Gold recently fell below $ 1,700 an ounce. Debajit Saha, Refinitiv's metal analyst, stated that the broader downward trend for gold is not yet over. Debajit said in the following on the subject: “We expect gold to find reasonable support at the $ 1,685/ounce. It will try to raise the $ 1,800 mark and may once again experience the selling pressure around that level. The broader downtrend for gold is not over and we expect it to touch $ 1,605 in late June or early July.”   Nirali Shah: Investors Will Start To Turn To Gold Head of Equity Research Head of Equity Research, Nirali Shah, states that as gold loses value after reaching high levels, investors may try to allocate a small portion of their portfolios to gold for adequate diversification.   Jigar Trivedi: Best Levels for Investors Jigar Trivedi, research analyst for commodities at Anand Rathi Shares, commented on the markets as follows: “Positionally, these are the best levels for investors to start accumulating. Because gold fell hard from an all-time high. In the midst of retreats in investment demand, the emotion is negative. SPDR Gold Trust, the world's largest gold-backed exchange traded fund, fell for the 13th session. The precious metal will likely be under pressure as the sentiment in the markets is weak. Amid the sharp rise in US dollar index and bond yields, gold may find support at low levels.”