Gold prices in the US reached a new record of over $3,800 per ounce - Bloomberg
Kyiv • UNN
Gold prices rose to an all-time high due to the threat of a possible US government shutdown, which complicates the forecasting of the Fed's monetary policy. The value of bullion reached $3,839.52 per ounce, and the world's largest gold producers announced personnel changes.
Gold prices have risen to a historical high amid the threat of a possible US government shutdown. This complicates the forecasting of the Federal Reserve's monetary policy ahead of a decision on interest rates next month. This is reported by UNN with reference to Bloomberg.
Details
On Tuesday, the value of bullion briefly reached $3,839.52 per ounce. The rise was supported by the lack of agreement between President Donald Trump and congressional leaders on temporary funding. This increases the likelihood of a "shutdown" and delays in the publication of key economic reports.
Meanwhile, the world's largest gold producers - Newmont Corp. and Barrick Mining Corp. - announced personnel changes. The departure of Newmont CEO Tom Palmer was expected, while Mark Bristow's decision to leave his position at Barrick came as a surprise.
The value of gold has already risen by more than 45% this year, setting new records amid high demand from central banks and expectations of a Fed rate cut. US Treasury bond yields also rose, which lowered their profitability and made gold more attractive to investors.