Gold prices may fall this week

The world gold price today is listed on Kitco at 2,335 USD/ounce, up 3 USD/ounce compared to early this morning.

Gold prices recovered slightly after a sell-off but are still far from the $2,400/ounce mark as the US dollar remains high.

US business activity accelerated to its highest level in more than two years in May, suggesting economic growth picked up in the second quarter, according to a new report.

The US dollar rebounded sharply after the report, offsetting losses during the day, which reduced the appeal of the precious metal to buyers holding other currencies.

While the dollar's recovery and the prospect of lower interest rates have triggered a sell-off in the gold market, the correction will be relatively mild, said TD Securities commodity strategist Daniel Ghali.

According to him, gold is adjusting to the view that the US Federal Reserve (Fed) will maintain high interest rates for a longer period of time, while at this meeting, the Fed mentioned the possibility of raising interest rates if inflation is "persistent".

Gold price movements today

+ Domestic gold price

At 6:00 a.m. on May 27, the gold price at Doji was listed at 87.5 - 89.3 million VND/tael (buy - sell), unchanged from early this morning.

At the same time, the gold price at SJC was listed at 87.5 - 89.5 million VND/tael (buy - sell), unchanged.

+ International gold price

The world gold price listed on Kitco is at 2,335 USD/ounce, up 3 USD/ounce compared to early this morning. Gold futures last traded at 2,340 USD/ounce.

Gold Price Forecast

The latest Kitco News weekly gold survey shows that more than three-quarters of experts believe gold prices will stabilize or fall in the near term, while half of retail traders still believe the precious metal can move higher.

Looking at gold's performance last week, Barchart.com senior market analyst Darin Newsom said that gold is likely to decline this week.

In the same vein, Bannockburn Global Forex CEO Marc Chandler also sees further downside risks for gold in the near term.

According to Chandler, the reason gold hit a record high of $2,450 an ounce early last week was due to the market’s reaction to the news of the accident that killed the Iranian president. However, the strength of the US dollar caused gold to sell off and plummet to nearly $2,300 an ounce.