Gold price all over the world, watched a global decline, but the main fear came from the Central bank of japan. In which the Japanese bank go stronger on its quantitative easing program ( printing more money ) while it is neglecting its gold and foreign exchange cover.
It was the main event today affected gold price and caused its decline today. The central banks of Japan decided today to go on its quantitative easing program, Neglecting its gold reserver. The move of Japan today, said to the world that, Gold reserver is not that important. the issue which increased the fears of investors from Gold market.
As a normal result for the move of japan we watched a decline in Gold price in the global market, Influenced by the japanese move today decreased the demand on gold. From the point of view of the bank of Japan they said that “If you look at the chart, recent rallies over the last couple months have been selling opportunities,” also they made an expectation about gold price for the next month.
The expectation of the Central Bank of japan, is the range of support for August gold, around at the level of $1,365 area, then $1,336-$1,337 USD/ Ounce of gold.
If the expectation of the central Bank of Japan came true, we will watch the end of the safe heaven.