Gold Falls Below $1,900 Amidst Russia Ukraine Conflict 

Gold has been trying hard to break out over $1,900 per ounce before setting its sites on the much anticipated $2,000 gold. We first saw gold breach $1,930 with the invasion of Ukraine by Russia, but as the narrative unfolds and the threat of war expanding beyond the borders of Ukraine decreases, gold has retracted back to just below $1,900 levels, closing at $1,890 per troy ounce as of close of market day February 25, 2022. But we are not yet out of the woods.

With fear subsiding to some degree, we saw temporary relief, but with continued high inflation, fear of recession and a bearish or unstable stock market environment, gold is starting to get more comfortable in the $1,900 per ounce range. We expect $100 price swings in the short term and a bit of teeter-tottering until numerous world situations stabilize, but no one can predict the uncertain nature of global markets, with inflation levels being a major driving factor for both the U.S. dollar, stock assets, gold and even crypto.

Inflation has traditionally been a double-edged sword for gold prices, because while gold continues to act as a store of value and a hedge against inflation, the Feds have announced several rate hikes in the near future, as early as March of this year, which is also a bearish indicator for the precious yellow metal. Inflation contributes to rising gold prices, while the Fed responding with higher interest rates lowers gold expectations, effecting the price, because raising rates has a negative or bearish effect on the gold price.

What jewelers want more than anything is stability in gold prices and even, in many ways, lower gold prices, so that retail jewelry prices will not become unattainable. At Apples of Gold Jewelry, we are carefully monitoring the price of gold and slowly evaluating our jewelry prices in order to provide you with the best possible value for your gold jewelry purchases. We are always hesitant to raise jewelry prices and will only do so when the gold market leaves us with no alternative.

Now may be a great time to invest in gold coins, with gold gearing itself to break out and breach the $2,000 spot price level. It also may be a good time for those who bought early to cash out. Apples of Gold Jewelry is also buying gold coins, particularly American Eagle Gold Coins and will pay you cash for your gold coins. You may also be in the market for a gold bezel for your coins. Reach out to us if this article has been helpful or if you have any questions about gold, coins, bezels or our fine gold jewelry, which is offered at a value-basis, with prices at approx. 30-40% below traditional jewelry retail.

Category: Gold News, Gold, Stocks, Crypto

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