| What effect will the Fed’s decision have on the gold market over the next year? It is our view that the effect of the Fed announcement on the price of gold will be limited, as it has already been priced in. After all, the market has been anticipating this increase for almost a year and a half.
It is more important to understand that more than 90 per centof gold demand comes from outside the US, primarily the Asian economies – particularly China and India. In these economies local price matters most. So whilst the US dollar price is one driver of the gold price it, is not always the most relevant factor...............................................Full Article: Source
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