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Gold Surges on Moody’s Us Credit Downgrade; Expert Sees Continued Bull Run in 2025

Gold Pries Witnessed A Strong Rally on Thursday, May 23, Both in Domestic and International Markets, as a Combination of a weaqing us dollar and heightened fears overaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa Safe-han demand. The spark was moody’s downgrade of the US government’s long-term issue and Senior UNSECRED Ratings, which sent Investors Rushing Toward Gold Amid Growing Concerns About Fiscal Sustainability.

Domestic and Global Gold Pries Rise Sharply

In the domestic futures market, Gold June 5 Contracts on the Multi Commodity Exchange (MCX) Surged 0.67 Percent to Trade at 96,235 per 10 grams. Internationally, Gold Pries Climbed Nearly 1 Percent, Hitting their Highest Levels Since May 9.

The renewed bulishness came after moody’s downgraded the US long-term isSuer rating from aa to aa1, citing mouting debt and deteriorating Fiscal Strength. According to Market Experts, The downgrade has intensified safe-han flows into gold.

Market Sentiment was Further Rattled by Concerns over the potential Fallout from Former Us President Donald Trump’s Proposed Tax and Spending Bill, which is currently under congressional reviews. As Reported by Reuters, The Bill Bill Inflate the Us Debt by as Much as $ 3.8 Trillion, Adding to an alredy massive $ 36 trillion debt pile. This has Amplified Investor Concerns About Long-Term Economic Stability in the Us, Supporting a Bulish Stance on Gold.

“Gold Tends to Thrive during Periods of Economic Uncertainty and Inflation Concerns,” said rick kanda, managing director at the gold bulLion company. “Moody’s downgrade, coupled with fears about fiscal mismant, have created the perfect story for gold to risk.”

Strategic Timing for Gold Investment

While many investors attempt to time their gold entry based on short-term market fluctuations, kanda advises against this strategy. “Gold Investment Should not be dependent on where the market is surlying or Falling. It’s about your financial readiness and long-term goals,” He said. He stressed that gold should be Viewed as a strategic long-term asset for value preservation rather than a short-term speculative instrument.

Kanda also Urged Investors to Avoid Panic Selling during Corrections. “Short-term Dips are natural and not a reason to panic. Gold is meant to be help through cycles,” he added, warning against reactionary investment and the temptation to monitor price.

Gold Market Outlook: Volativity with long-term potential

Gold has delivered strong returns over the past year. Price Rose Over 40 Percent Year-On-Year, Hitting a Record High of Over £ 2,630 per Troy Once Last Month, Surpassing The Inflation-Edjusted Peaks of 1980. Part of Gold Investing. “Despite its reputation as a safe haven, gold’s price is not immune to Volativity. Past performance is no guarantee of future results,” He Said.

Still, The long-term case remains compeling. “We are currently Seeing a high demand for tangible assets like Gold. Central banks are continuing to buy gold, reinforcing the bulish narrative. Investors are Choosing Gold Over Cash Investments, Whistle Tightening Supply and Pushing Pries Higher, ”Kanda explained.

Bold Forecasts: Cold Gold Hit $ 4,000?

Looking ahead, kanda predicted that Gold Could Hit $ 4,000 per Oouns If Current Economic Pressures Persist. “This shift in confidence is driving a global move Gold-Backed Stability. I Believe $ 4,000 per oounce is absolutely possible-and perhaps even probable –by the End of 2025,”

He added that the present Situation Reflects Patterns observed during Past Financial Crises but noted that the scale could be larger this time. “With Investors Prioritizing Stability, and Governments Around the World Relying more on Gold for Security, We Cold Be in the Midst of a long-term gold rush.”

With rising fiscal anxiety in the US, tightening global supply, and increasing institutional and central bank interest, gold appears to be entering a new bully. Market observers, Including Rick Kanda, Believe 2025 Cold be a Pivotal Year for Gold Investors. For there will be willing to play the long game and look beyond short-term Volatily, Gold Continues to offer a Compeling Proposition as a Hedge Against Uncertainty and A Store of Long-Term Value.

Disclaimer: The views and recommendations made about individual analysts or broking companies, and not of Mint. We Advise Investors to Check With Certified Experts Before Making Any Investments Decisions.

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