Analyst: The reason for the short-term sharp decline in spot gold is unknown

Odaily Planet Daily reports that U.S. financial website investinglive analyst Adam Button stated that gold prices suddenly plummeted for unknown reasons. This move triggered a broad rally in the U.S. dollar. The decline in gold prices and the strengthening dollar may have been caused by overall risk aversion sentiment. After the U.S. stock market opened flat, it then dropped sharply. The fall in gold prices also sparked speculation about a leak of the CPI report, which might occur after the release of a popular report, but I remain skeptical. Whatever the driving factors behind this move are, they have intensified concerns that “nothing is safe.” I believe the trigger was Microsoft’s stock price dropping 12% in one day. Since then, we have seen ongoing worries about industry turmoil. The software sector continues to be impacted, but now the logistics and transportation industries are also affected. It’s possible that someone working as a software engineer was forced to sell off gold holdings. (Jin10)