Gold Likely to Face Further Pressure Within the Year, Capital Economics Points Out Two Reasons

On October 17 that on October 16, Hamad Hussain, Climate and Commodities Economist at Capital Economics, assessed that gold prices could gradually decline for the remainder of the year. He cited two reasons: the Federal Reserve's continued rate hikes, and market concerns over the end of the artificial intelligence boom ultimately remaining just a temporary phenomenon. This indicates his gold price outlook factors in both interest rates and the trajectory of the AI boom. Meanwhile, Barte Melick, Global Head of Commodities Strategy at TD Securities, stated that gold remains range-bound and leans toward the lower support area, primarily due to substantial uncertainty surrounding the Fed's next move. (Jin10)