Gold, US securities were sold off

Closing the session of January 27, the world gold price delivered by more than $ 30 to $ 2,740 per ounce. During the session, the price was less than 2,730 USD.

The global financial market is sold off when investors pay attention to China’s Deepseek Startup. This startup is most likely to create a highly competitive AI model, with a cost of only a small part compared to billions of dollars that Silicon Valley has spent.

The US government bond yield is down to the lowest 3 weeks. Dollar Index – Measuring the power of USD with 6 major currencies – to the lowest level since December 18. The S&P 500 index takes 1.46%, and Nasdaq Composite decreased by more than 3%. Nvidia, Broadcom, AMD, Microsoft, and Palatir shares decreased by 4-17%.

“Gold is sold off due to the impact from the stock market than interest or currency. It seems that investors lack liquidity due to using leverage to buy stocks, so they have to sell gold,” Bart Melek – Bart Melek – the strategist Goods at TD Securities said.

The sell -off took place just a few days before the US Federal Reserve (Fed) held the first policy meeting this year. Fed officials are forecasted to keep interest rates.

However, investors will soon shift to focus to clues about the Fed’s interest rate decision during the term of US President Donald Trump. His import tax policies are forecast to bloom inflation.

“Gold price will still be supported. The demand for shelter is still available. The market will soon set a new peak, because Mr. Trump’s term will have many unsure,” Peter Grant – precious metal strategist at Zaner Metals said.

In addition to gold, other precious metals yesterday also depreciated. Silver decreased by 1.7% to 30 USD per ounce. Palladium dropped nearly 3% to 959 USD, while platinum lost 0.3% to 945 USD.