An ounce, 2027 dollars.. Gold prices are close to their highest historical levels
Spot gold prices jumped in trading on Wednesday to 2027 dollars an ounce, approaching the peak of its historical prices achieved in 2020 by 2073 dollars.
According to Anadolu Agency, the rise comes amid increased demand for the yellow metal by investors, who have re-evaluated the risks associated with the banking crisis and high inflation rates.
And Tuesday, US data showed that the labor market in the United States is witnessing a significant slowdown, which portends the possibility of a moderate recession, and the suspension of interest rate increases.
A report released Wednesday by the ADP Research Institute, an economic and labor market research institute in Kansas, showed that the US added 145,000 jobs in March, well below the median forecast of economists.
Wednesday’s data release came ahead of Friday’s headline jobs report, which could push gold to a record price if weak.
In the middle of today’s session, Wednesday, the price of spot gold contracts increased by 0.50%, or $ 20, to $ 2027 an ounce.
Central bank officials have receded on the possibility of a rate cut later this year, as they insisted more tightening was needed to tame inflation. Cleveland Fed President Loretta Mester, in a speech on Tuesday, called for raising interest rates again in 2023 and keeping them high for some time..
And the highest historical price of gold was recorded during the year 2020, when the price of an ounce reached $ 2073, according to historical data for the yellow metal.
Gold is a store of value, used as a hedge against inflation, and a safe haven in times of geopolitical crises and economic and financial turmoil.
(Anatolia, The New Arab)
