On Tuesday, October 14, gold prices rose to a new record high above $4,100 per ounce. This happened because the renewed tensions between the US and China provoked a rush for safe-haven assets, UNN reports with reference to investing.com.
Details
Spot gold traded 1.3% higher at $4,164.80 per ounce at 00:17 ET (04:17 GMT). US gold futures rose 1% to $4,175.92.
Silver prices jumped 2% to $53.47 per ounce, also reaching a new record high. Platinum futures rose 1.2% to $1,704.55.
Recall
According to fintech expert and co-founder of Concord Fintech Solutions Olena Sosedka, the rise in gold prices is a signal for the modern fintech market that although technologies can make finance more convenient, trust is based on values proven over centuries.
And geopolitical instability further enhances the importance of gold in the international market. "Wars, trade conflicts, unpredictable decisions of world leaders - all this creates an atmosphere of constant instability, in which gold becomes a universal insurance.
So, the jump in the value of gold is not just a financial event, it is a marker of investors' confidence in the modern economy," Olena Sosedka summarized. She also added that the rise in the price of gold only means that investors are preparing for a weakening dollar. A weaker dollar makes gold cheaper for international buyers, creating a powerful incentive for its price to rise.