Are Gold Prices Nearing Their Short-Term Top?

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Published: Apr 21, 2021, 12:27 UTC

Gold prices are currently hovering near a seven-week peak, as traders await a fresh fundamental spark to ignite the precious metals next big move.

The key event that traders will be closely watching this week is the outcome of The European Central Bank’s policy meeting on Thursday.

Traders predict that the European Central Bank’s stimulus plans are about to run into deeper uncertainty even as the clouds around the pandemic start to lift. Talks on how to exit the ECB’s quantitative easing programme are set to coincide with a potential change to its inflation goal.

That leaves traders wondering how much more stimulus officials will provide and just how much inflation they are willing to tolerate as the economy recovers from the worst recession in history.

The ECB meeting takes place one week ahead of the U.S Federal Reserve’s April 27-28 monetary policy meeting, which is also expected to have a huge impact on the markets.

Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions:

For a look at all of today’s economic events, check out our economic calendar.