Last week, international gold prices dropped from $1,933 to $1,892, before recovering and closing at $1,919. The continued decrease in gold prices is due to central banks tightening monetary policies.
During a recent group discussion, European Central Bank President Christine Lagarde, Bank of England Governor Andrew Bailey, and Federal Reserve Chair Jerome Powell stated that interest rates will have to be raised higher to bring inflation down to 2%. Even Bank of Japan Governor Kazuo Ueda is considering abandoning loose monetary policies in the future.