With interest rates now likely to come down at least twice and possibly three times this year - and Biden’s bid for a second term looking weaker than ever - gold prices are likely to remain elevated.

The USD nosedived, and the chances of the Federal Reserve cutting interest rates in September received a major boost today as US CPI figures showed a further fall in inflation.

The GBP looks set for further gains over the coming weeks, especially considering any further weakness in the US economy. However, this may not translate into long-term gains for the EUR/USD.

Whatever happens, the USD/JPY pair is set for further volatility. The BoJ’s previous interventions have seen moves of over 500 pips, so prudent risk management is especially important.

Central banks are less concerned about the price of gold. Their purchasing priorities are now set by the long-term political goal of independence from the USD.