Global gold prices surged by15%to a fresh record during the past 15weeks
Global gold prices jumped by more than 15%، or more than $300، during the past 15 weeks from the beginning of this year until the close of trading yesterday، Friday، to exceed $2،374 per ounce for futures prices on the American COMEX exchange، to record the highest level in its history، in its best start since 2017 to surpass the gains it achieved throughout last year، which amounted to about $240.
Global gold prices broke the $2،400-an-ounce mark for the first time early Friday
Global gold prices broke the $2،400-an-ounce mark for the first time early Friday، climbing as much as 2.5% to $2،431.52 before erasing gains to fall as much as 1.4% but they surpassed the gains they achieved throughout last year when they also rose by 13%، increasing to nearly $2،100 at the end of last December.
Global gold prices climbed yesterday as much as 2.5% to $2،431.52 before erasing gains to fall as much as 1.4% but the quick intraday turnaround isn’t uncommon for the precious metal as its daily movement has largely been dictated by economic data and interest rate expectations for the past few months.
Global gold prices has advanced more than its last year rally
Nicky Shiels، head of metals strategy at Geneva-based MKS PAMP SA، stated that Global gold prices has advanced more than 15% so far this year، exceeding the 13% advance registered for all of last year، however its rally and often-outsized moves have left some onlookers puzzled because of the lack of any obvious triggers، particularly as the outlook for interest-rate cuts by the Federal Reserve has become muddier in recent weeks.
Philip Newman، managing director at consultancy Metals Focus، warns that Global gold prices jumped as the market has become overextended and that will lead to a liquidation selling and any liquidations، as well as any correction would be short-lived and would present a very strong buying opportunity.
Global gold prices are still on course for its fourth weekly advance
Global gold prices’s 14-day relative-strength index was hovering near 80، well beyond the level that some investors see as overbought، pointing to a potential pause but the bullion is still on course for its fourth weekly advance، the longest winning streak since early 2023.
Global gold prices were boosted earlier Friday، by elevated tensions in the Middle East as Israel is bracing for a direct and unprecedented attack by Iran on government targets as soon as Saturday، according to people familiar with western intelligence assessments، a move that has the potential to trigger an all-out regional war.
Global gold prices were affected by other factors including geopolitical and financial risks
Global gold prices were affected by other factors including geopolitical and financial risks as well as concerns over sticky long-term inflation are underpinning prices as well as central banks buying، led by China، have added some bullish momentum.
Global gold prices tend to rise، as the precious yellow metal becomes more attractive in periods of inflation and rising prices، as investors have received more disappointing inflation news recently، which has reinforced the rise in gold bullion prices، in addition to security concerns، evidence of continued inflation، and doubts about the strength of the Chinese economy، which has fuelled fears of weak global economic growth and has exacerbated market sentiment and has increased the search for safe haven assets.
