two-week high

Gold Prices Rebound to Two-Week High Due to Weaker Dollar

After a rough few trading sessions, gold prices have stopped their recent consolidation, due in no small part to a weaker United States dollar. In early trading on Tuesday, July 18, 2017, the price of a Troy ounce of gold for future delivery was hovering just under $1,240. For those banking on long-term gold gains, that’s a great sign. For those who regularly trade gold futures online for short-term profit, that increase of over $30 per ounce from last week’s low could represent a substantial gain. July 3 was the last time the price of gold was this strong, and investors could profit handsomely.

The reason that gold futures are once again on the rise is that the dollar has dipped to a 10-month low value, when compared with several other global currencies. In general, when the dollar and other investments, like stocks, are weak, investors tend to buy up gold as a hedge against potential economic uncertainty. With global analysts predicting that the Federal Reserve will not raise rates again this year without substantial economic growth and the failure of the health care bill, all eyes turn to precious metals as the dollar sheds value.

Can Gold Markets Sustain This Two-Week High Price?

Investors and analysts are split about the potential for a gold rally in upcoming weeks. Some people are betting that gold could slide down below $1,000 per Troy ounce by the end of the year, while others believe the price could breach the $1,300 price mark. Those who track the price of gold have ideas about patterns in pricing. Although one cannot predict destabilizing events in the future, it is easy enough for would-be investors to educate themselves about factors that impact the price of gold and other precious metals.

Demand for gold is on the rise, especially with a weaker dollar incentivizing international investors. In India, for example, the demand for imported gold is up sharply when compared with this time last year. In fact, it’s nearly triple what it was last summer. With more than one billion people in its population, demand from India is no small thing for international and domestic commodity markets.

Domestic and international events and politics will continue to impact gold prices. Savvy investors can profit from the drops and surges in price by trading gold futures online. Using a Forex platform is convenient and fast, allowing you to capitalize on sudden price changes.

How to Trade Gold?

Take advantage of the daily changes in the price of gold. Start trading gold today by opening a trading account with easyMarkets and get up to $2000 bonus*. As an industry first, they have also launched a unique deal cancellation tool as a way to manage your risk on any bad trades. By selecting dealCancellation on the trading platform whenever you make a trade, you can cancel your losing trade within 60 minutes and get your money back. *Terms and Conditions Apply

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