As China eased the Covid-19 restrictions, risky assets made a premium while the dollar fell. The rise in gold prices drew attention to the environment of the decline in the dollar.
Gold rose as pressure on the dollar increased after China eased Covid-19 restrictions.
While an ounce of gold is over $1,800 in the spot market, a gram of gold is around TL 1.086.
China will no longer quarantine arriving passengers from the beginning of January. This decision is expected to boost confidence in Asia’s largest economy while contributing to the swift rollback of the stricter pandemic rules previously imposed.
On the other hand, markets are trying to absorb US data on Friday, which points to softer inflation and slower consumer spending, which could ease the pressure on the Fed’s further rate hikes.
Gold has gained more than 8 percent this quarter, aided by a weakening dollar, and hopes the Fed will slow down aggressive monetary tightening.
