US Inflation Data Impacts Gold Prices
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Source: CNBC
- Gold Price Decline: Spot gold prices fell by 0.6% to $4,428.69 per ounce, marking a third consecutive day of losses, reflecting market skepticism regarding a potential US-Iran deal impacting investor confidence.
- Inflation Data Impact: The US personal consumption expenditures price index rose 3.8% year-on-year in April, in line with expectations, with a month-on-month increase of 0.4%, enhancing market expectations that the Federal Reserve may hold interest rates steady.
- Geopolitical Risks: Iran's targeting of a US airbase and Trump's rejection of a compromise deal with Tehran have further heightened market uncertainty, leading to a decline in gold's appeal as a safe-haven asset.
- Precious Metals Market Performance: Silver and platinum prices fell by 1.2% and 1.6% respectively, indicating a weak performance across the precious metals market amid high inflation and geopolitical risks, as investors gravitate towards yield-bearing assets.
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Analyst Views on UBS
Wall Street analysts forecast UBS stock price to rise
11 Analyst Rating
7 Buy
2 Hold
2 Sell
Moderate Buy
Current: 46.840
Low
39.12
Averages
52.09
High
71.73
Current: 46.840
Low
39.12
Averages
52.09
High
71.73
About UBS
UBS Group AG is a Switzerland-based holding company and conducts its operations through UBS AG and its subsidiaries. The company operates as a wealth manager with focused asset management and investment banking capabilities and a capital-light and cash-generative business model. The Company comprises four business divisions: Global Wealth Management, which provides tailored advice and solutions to its clients around the globe; Personal & Corporate Banking division provides comprehensive financial products and services to private, corporate and institutional clients in Switzerland; Asset Management division offers investment capabilities and styles across all traditional and alternative asset classes, as well as advisory support to institutions; Investment Bank provides investment advice, financial solutions and capital markets access to institutional, corporate and wealth management clients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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