Experts believe that the recent fall in the US dollar against the basket of major currencies led to growth in global gold prices. Amid the weak beginning of the year, some economists suppose that the US will be able to catch up in the rest of 2015 just like the country did in 2014. However, the economic contraction did not come unnoticed, thus pushing the national currency down. The latter, on its turn, boosted gold prices. In general, gold futures for June delivery were up $6.4 or 0.53%, according to the Comex trading data. The print touched the level of $1,224.60 a troy ounce beating the previous 2015 high of $1.219.70 a troy ounce. The situation is also affected by the weak statistics on the US retail sales that dropped in April considerably. The report unveiled that demand fell and it had a negative impact on the US dollar exchange rate. Besides, from economists’ viewpoint, low retail sales will possibly make the US Federal Reserve delay the interest rate hike for autumn. Taking into account these circumstances, Citigroup analyst David Wilson projects that gold price will amount to $1,200 a troy ounce on average in the current quarter. The falling US dollar will support the prices stabilization until there is evidence of statistics improvement.
