Australia and New Zealand Banking Group: The recent downward trend in gold prices appears to be short-lived.

Soni Kumari and Daniel Hynes from the research department of ANZ Bank believe that the recent decline in gold prices appears to be temporary. These strategists said in a report that although the US dollar has rebounded due to its safe haven status, this strength may be temporary as the currency is still overvalued. They said that the Federal Reserve is also unlikely to reverse its monetary policy stance, citing the trend of slowing inflation which has not changed. While rising oil prices bring the possibility of inflation pressures, they expect this to be temporary. The fundamental forecast of ANZ Bank's research department is that by the end of December, the Federal Reserve's policy rate will be lowered to 3.0%. They added that the rate cuts and weakening of the US dollar should support investment funds flowing into gold. Spot gold fell by 0.2%, to $5,166.80 per ounce.