Gold prices surge as IMF cut growth forecasts
Gold prices were higher on Tuesday, as the International Monetary Fund adjusted its 2021 growth forecast.
In a report published via the World Economic Forum, the IMF announced that it revised its expectation for growth from 5.9% in July, to 5.8% today.
Following the revision, Gita Gopinath, who is the chief economist at the IMF stated that, “This modest headline revision masks large downgrades for some countries”.
She went on to add that, “The outlook for the low-income developing country group has darkened considerably due to worsening pandemic dynamics. The downgrade also reflects more difficult near-term prospects for the advanced economy group, in part due to supply disruptions”.
$Gold fell to an intraday low of $1,750, before hitting a high of $1,769 on the news.
Bitcoin climbs to 5-month high
Today's Bullish sentiment was also present within cryptocurrency markets, with Bitcoin climbing to its highest level in 5-months.
BTCUSD rallied to an intraday high of $57,631, which was its highest point since May 12th.
The gains in Bitcoin come as many expect the Securities and Exchange Committee to approve an ETF for the cryptocurrency in upcoming weeks.
Although BTC was higher on the news, the likes of Ethereum and Cardano traded lower, with Shiba Inu gaining, climbing to become the 15th largest coin by market cap.
As of writing, BTCUSD had given up the earlier gains, trading at $55,740.
intraday high of 113.41 in today’s trading session, which is its highest level since December 2018.
As the Dollar strengthened, Monday’s move also several U.S. indices lower, with the benchmark S&P 500 trading 0.29% lower as of writing.
Many now wait to see if the Fed will give any guidance to its potential next policy updates.