On Thursday (January 23rd), during the New York trading session, the US dollar plunged following President Donald Trump’s call for lower interest rates, prompting a sharp rebound in spot gold from its intraday low, ultimately closing near $2,755 per ounce.
After Trump’s remarks, the US Dollar Index tumbled from its intraday high of 108.48 to a low of 107.92 before rebounding slightly.
Spot gold accelerated its rebound from an intraday low of 2,760 per ounce. The decline in the US Dollar Index made gold, priced in dollars, cheaper for holders of other currencies.
FXStreet analyst Christian Borjon Valencia pointed out that gold’s latest rally was driven by the fall in the dollar, as it rebounded from an intraday low of $2,735 per ounce.
As of Thursday’s close, spot gold was largely unchanged, settling at $2,754.48 per ounce.
In October last year, gold hit an all-time high of $2,790.15 per ounce.
On Thursday, US President Donald Trump launched his first fierce attack on the Federal Reserve, saying he would apply pressure to demand lower interest rates. He also urged other countries to take similar measures to address global economic challenges.
