WGC Weekly Markets Monitor: LBMA Gold Price PM in USD Dropped

The global gold ETF inflows accelerated bringing US$2.4 billion, primarily led by the US and Europe.

SEATTLE (Scrap Monster): The Weekly Markets Monitor Report published by the World Gold Council (WGC) indicates that gold prices saw further decline during last week. The LBMA Gold Price PM in USD slipped 2.9% during the week, falling to o US$3,272/oz last Friday. This marked the sharpest week-on-week decline since mid-May this year.

WGC: Central Bank Gold Buying Decelerated in April

The study claims that some of the risk premium in gold was eliminated by the slowing news flows regarding the Middle East and the encouraging developments in the trade negotiations between the United States and China. Despite a declining dollar, the price of gold was affected by risk and uncertainty. The US and Europe led the worldwide gold ETF inflows, which increased to US$2.4 billion.

After moving to its 'typical' historical overbought extreme in late April, gold has continued to consolidate. Since the breach and weekly closure below its medium-term 55-day moving average, this has now taken on a more pessimistic tone. WGC predicts a longer and more coordinated period of decline in gold prices. The commodity faces initial resistance at US$3,350/oz, according to the trade group.

In the future, macro announcements may have a bigger influence on gold market sentiment, particularly if there aren't any new rises in geopolitical or trade issues. Additionally, the risks of stagflation are probably going to persist.