Gold continues to rise in price Wednesday and is one step away from an all-time high, MarketWatch writes.
June gold contracts on the New York Comex Exchange were up 0.49% to $2048.2 a troy ounce by 3:55 p.m. Q. The absolute record was set on August 6, 2020 at $2069.4 an ounce, according to Dow Jones Market Data.
Silver for May delivery is down 0.26% at $25.04 an ounce.
Gold is supported by recession fears and a weakening U.S. dollar.
“The market is stubbornly adhering to the prediction that U.S. rates will be cut later this year and the path of least resistance for gold is leading upward,” said XM senior investment analyst Charalampos Pissouros.
Gold and silver prices are expected to rise in 2023 amid a weaker U.S. dollar and the Federal Reserve’s easing of monetary policy, analysts believe.
The London Bullion Market Association’s (LBMA) annual survey of 30 analysts pointed to cautious optimism about the prices of the metals. Experts expect gold and silver to be 3.3% and 8.8% more expensive on average by the end of this year compared to 2022.
Among the key factors that may trigger higher prices, 43% of respondents named the decline of the U.S. dollar and the Fed’s monetary policy, while 14% mentioned inflation and 11% mentioned geopolitical factors.
Analysts predicted an average gold price of $1859.90 per troy ounce, but the range remains wide at $1594 to $2025 per ounce. That range is in line with last year’s forecast, the LBMA notes. The average gold price in 2022 was $1800.09 per ounce.
Silver prices this year are expected to rise to $23.65 an ounce from $21.73 an ounce in 2022. The lower end of the forecast is $17.50 an ounce and the upper end is $27.
Analysts are much less optimistic about palladium prices where they expect a 14.3% decline to $1809.80 per ounce in 2023. The average price in 2022 will be $2112.06 per ounce.
Meanwhile, platinum prices are expected to rise 12.5% this year from the 2022 average price of $1080.4 per ounce. The forecast range is $988-1241 per ounce.
Gold prices are actively rising on Monday thanks to a weaker U.S. dollar and may end trading above $1900 an ounce for the first time since last April.
Quotes for February gold contracts on the New York Mercantile Exchange (NYMEX) rose 0.9% to $1915.7 per troy ounce by 6:30 p.m. Ksk.
Silver for March delivery rose 1% to $24.25 an ounce.
The ICE-calculated index showing the U.S. dollar’s performance against six major world currencies rose slightly Friday, but the day before the indicator fell 1 percent after data showed the December inflation rate in the U.S. slowed to 6.5 percent from 7.1 percent in November.
“The inflation data confirmed that inflation is still declining, though still well above the 2% target,” wrote Kinesis Money market analyst Rupert Rawling. – The U.S. central bank will probably still raise rates at its meeting later this month, but the hike is likely to be only 25 basis points.”
However, he warned that there are concerns that gold has risen too much and may soon need a correction, so “investors should be cautious in trying to jump on that departing gold wagon.”
Dynamics of gold and foreign reserves of Ukraine from 2012 to 2022
http://www.minfin.gov.ua
Gold prices are rising in trading on Friday, continuing to rise after rising to the highest since August the day before.
Market is supported by hopes for a possible slowdown in the pace of tightening of monetary policy by the U.S. Federal Reserve (Fed) in December, which put pressure on the dynamics of the dollar, writes MarketWatch.
Prices of December contracts for gold on the New York Mercantile Exchange (NYMEX) rose by 0.46% to $ 1761.7 per troy ounce by 16:39 kcd. Gold is near its highest level since August.
The ICE U.S. Dollar index, which tracks the dollar’s performance against six major world currencies, is down about 1% in trading. The day before it was down 2 percent.
As it became known on Thursday, consumer prices (CPI) in the United States rose by 7.7% in October against the same month last year after an increase of 8.2% in September. Thus, inflation slowed to its lowest since January and was well below market forecasts.
The data may affect the policy of the U.S. Federal Reserve (Fed), which is aggressively raising interest rates in an attempt to curb inflation.
At the same time, prices for other precious metals showed no unified dynamics on Friday.
Silver for December delivery was down 1 percent at $21.5 an ounce.
Palladium prices rose 2.7% to $2007.5 an ounce and platinum fell 0.5% to $1049.3 an ounce.
Prices of precious metals continue to decline on inflation data in the US and against the background of the strengthening of the US national currency, as a result, gold may end the first week of the last three in the red, MarketWatch reports.
Gold and silver “continue to trade in a strong inverse relationship with the strong dollar index,” said Jim Wyckoff, senior analyst at Kitco.com. At the same time, market bulls are surprised that precious metals do not attract investors as a “safe harbor” in the face of increased geopolitical and market uncertainty, he said.
Quotes of December contracts for gold on the Comex during trading on Friday decreased by 1.3% – up to $1654.9 per troy ounce. Silver for December delivery fell 2.8% to $18.39 an ounce. Since the beginning of the week, the cost of these precious metals has fallen by 3.1% and 8.8%, respectively.
December palladium futures fell 3% on Friday to $2,053.5 an ounce.
Meanwhile, the DXY index, which shows the value of the US dollar against six major world currencies, rose by 0.7% to 113.14 points.
Consumer prices (CPI index) in the US in September rose by 8.2% compared to the same month last year, showed data published on Thursday by the country’s Ministry of Labor. Thus, inflation slowed down compared to 8.3% in August, but turned out to be higher than the 8.1% expected by analysts.
Meanwhile, consumer price growth before food and energy (Core CPI) accelerated to 6.6% year-on-year last month from 6.3% in August, renewing a record since 1982.
“Inflation data was terrible for the yellow metal as it cemented a 75 basis point Fed rate hike next month. And with inflation looking so unwavering, the Fed will likely have to go further than markets previously expected,” he said. Oanda Senior Market Analyst Craig Erlam “This does not bode well for gold in the near term. Yesterday’s lows of around $1,640 an ounce could soon be tested again.”
