Gold prices rose for the third straight session today, Thursday, as weaker-than-expected US inflation data reinforced that the Federal Reserve may raise interest rates again next month and then halt further increases.
By 0332 GMT, spot gold was up 0.1 percent at $2016.99 an ounce. U.S. gold futures rose 0.3 percent to $2,030.70.
Gold prices rose more than 1% on Wednesday after data showed the U.S. consumer price index rose 0.1% last month, compared with expectations for a 0.2% increase last month, after rising 0.4% in February.
“Expectations that the Fed’s hike cycle is nearing its end are supported by the latest US consumer price index data, while low Treasury yields and a weak dollar support gold prices,” said Yip Zhan Rong, market analyst at IG.
Gold is a hedge against inflation, but high interest rates reduce the attractiveness of the yellow metal, which does not provide returns.
Depression fears are “allowing gold prices to build their safe haven position,” Yep added.
As for other precious metals, silver rose 0.1% to $25.50 an ounce in spot trades, platinum to $1015.06 and palladium up 0.3% to $1464.16.
“Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator.”
Toyota reveals the production process of the GR Yaris in a video
Stock markets receive 2.68 billion dirhams
For this reason Apple shares are rising strongly, recording their highest levels ever! By an Arab trader