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Gold prices have been steadily falling as spring was turning into summer, but as fall gets closer, gold prices could start rallying again. A recent Kitco Gold Survey got a pulse on what Wall Street analysts and retail investors are expecting during the first week of September.
Gold futures in July notched their highest gain in four months. Investor optimism surrounding fewer rate hikes by central banks and the prospect of a weaker U.S. dollar pushed the precious metal higher.
While the capital markets expect the Fed to wind down its policy tightening, fears of a recession are still swirling. This continues to feed inflows into funds like SGDM, a gold ETF.
Rising interest rates have been putting downward pressure on gold, but the shaky banking sector recently pushed prices past the $2,000 mark. With investor confidence in banks waning, this could continue to bolster gold prices as they seek to add precious metals for safety.
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