Today's gold analysis: tracking recovery attempts through charts.

The gold price index has been declining since the announcement, and the current price is 2.5% lower than the previous day’s closing price.

The Gold Price Index Plummets to $2583 per Ounce

The gold price index has experienced a significant decline in recent days, with the current price being 2.5% lower than the previous day’s closing price. This downward trend is largely attributed to the US Federal Reserve’s hawkish announcement regarding fewer US interest rate cuts in 2025.

Factors Contributing to the Decline

The US Federal Reserve’s announcement of fewer US interest rate cuts in 2025 has led to a strong increase in the US dollar.

The Revised Economic Forecasts

The US Federal Reserve, the central bank of the United States, has revised its economic forecasts, which aligns with the “hawkish” message of the policy update. This move suggests that the Fed is preparing for a potential economic downturn.

Key Points of the Revised Forecasts

The Fed’s revised forecasts indicate a 50% chance of a recession in The probability of a recession in 2024 is 30%. The Fed’s growth forecast for 2023 has been revised downward by 5%. The Fed’s growth forecast for 2024 has been revised downward by 2%. ### Implications of the Revised Forecasts

Implications of the Revised Forecasts

The revised forecasts have significant implications for the US economy and the financial markets. The Fed’s decision to revise its forecasts downward suggests that it is taking a more cautious approach to monetary policy. This could lead to higher interest rates and a stronger US dollar.

The “Hawkish” Message

The “hawkish” message of the policy update is supported by the revised economic forecasts.

Gold prices surge as investors seek refuge from economic uncertainty and geopolitical tensions.

The Rise of Gold Prices

Gold prices have been on a tear this year, with the metal rising more than 30% in value. This significant increase is largely attributed to several factors, including:

US monetary easing, which has led to a decrease in interest rates and an increase in the money supply. Strong safe-haven demand, as investors seek refuge from economic uncertainty and geopolitical tensions.