Gold Prices Fell 3.6% On Wednesday, Down 25% In The Two Quarter, Hitting A Three Year Low.

P, June 27th morning news, on Wednesday, investors continued to tighten fears that the Federal Reserve would soon begin to reduce the scale of asset purchases. Gold prices plunged to the lowest price in many years from the expectation that the Federal Reserve's economic stimulus and liquidity support would decline. Although the US Department of Commerce report showed that the first quarter gross domestic product growth rate was 1.8%, less than 2.4% of the previous estimate helped gold prices narrow narrowing the previous decline, but the main gold contract trading plunged to $1229.80 an ounce.

In addition, Goldman Sachs and many other investment banks have also lowered the expected price of gold.

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< p > the New York Mercantile Exchange August main force a href= "http://sjfzxm.com/news/index_cj.as" > Gold < /a > contract fell $45.30 on Wednesday, closing at $1229.80 an ounce, or 3.6%.

This is the lowest closing price of the main contract since August 2010.

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Bernanke P said in June 19th that after the latest Federal Reserve monetary policy conference, the Fed could begin to reduce the scale of the quantitative easing program later this year and terminate the debt purchase plan before and after the middle of 2014.

If the US tightens monetary policy, the long-term price trend of gold is bound to reverse, and the 20 year rally is coming to an end.

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< p > recently, Goldman Sachs, Credit Suisse, UBS, Morgan Stanley, HSBC and Deutsche Bank respectively lowered their respective a href= "http://sjfzxm.com/news/index_s.asp" > gold price < /a > expectations.

Us analysts of HSBC securities lowered the price of gold in 2013 from $1542 an ounce to $1396 an ounce, and the gold price in 2014 was expected to drop from $1600 an ounce to $1435 an ounce.

Credit Suisse Group (CSGN) also lowered its gold price forecast on Tuesday.

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< p > Morgan Stanley analysts lowered the 2013 gold target price from $1487 an ounce to $1409 an ounce, reducing the target price from $1563 an ounce in 2014 to $1313 an ounce, while reducing the target price in 2015 from $1450 an ounce to 1300 US dollars per ounce.

In addition, Morgan Stanley also lowered the expected price of gold and silver until 2018.

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Goldman Sachs lowered its gold price at the end of 2013 from $1435 an ounce to $1300 an ounce, and gold price in 2014 is expected to drop from $1270 an ounce to $1050 an ounce.

Goldman pointed out that investors believe that the Federal Reserve will begin to reduce the scale of quantitative easing and raise the federal funds interest rate sooner than Goldman economists expected.

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Michael P, a commodities strategist at Deutsche Bank, pointed out that "2013 will be a year of great change in the fate of the" a href= "http://sjfzxm.com/news/index_c.asp" gold market < /a >, pushing the shift from the US interest rate cycle to the bull market prospect of the US dollar exchange rate. "

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Data from Barclays Capital show that the gold ETF, which includes exchange traded funds and exchange traded products, has reached 490 tons since 2013.

This means that the gold holdings of gold ETF have been reduced by 17.7% compared with the end of 2012, when gold ETF's gold holdings were a record 2767 tons.

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