The gold price has risen to new heights and set a new record of $2,135.39 per ounce. The Economist writes about it, UNN reports.
Details
The rise comes as those who trade the precious metal the precious metal are increasingly confident that the US central bank will cut interest rates in the new year. In addition, the war in the Gaza Strip is contributing to the fact that more people are looking for gold as a safe financial haven.
The previous record was set in 2020, during the coronavirus pandemic.
At the same time, expectations of an interest rate cut from the Federal Reserve - the Fed - weakened the dollar. This helped make gold a more affordable investment for people from other countries.
Gold prices are set to reach new highs next year and may remain above $2000, according to analysts, citing geopolitical uncertainty, the likely weakening of the US dollar and possible interest rate cuts.
Bart Melek, head of commodity strategy at TD Securities, expects gold prices to average $2,100 per ounce in the second quarter of USD in the second quarter of 2024, and strong purchases by the US central bank will be a key catalyst in driving prices higher.
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