2024-11-24 18:31:52 :
(Bloomberg) — Gold prices rose for a fourth straight day as investors focused on an escalation in Russia’s war with Ukraine.
Gold was trading above $2,660 an ounce after Ukraine said Russia launched an intercontinental ballistic missile towards the central Ukrainian city of Dnipro. The attack appeared to be the first reported use of intercontinental ballistic missiles, which are designed to hit targets thousands of kilometers away, since the invasion began. Rising geopolitical tensions tend to be good for precious metals.
Gold prices are recovering their losses as Donald Trump’s victory in the US election triggered a rally in the US dollar. Gold is up nearly 30% this year, with prices widely expected to reach new records in 2025, with Goldman Sachs Group Inc. and UBS Group AG both issuing bullish outlooks in recent days.
In the United States, Boston Federal Reserve President Susan Collins said further interest rate cuts were needed but policymakers should proceed with caution. Lower interest rates are generally good for gold because it pays no interest.
Priyanka Sachdeva, market analyst at Phillip Nova Pte Ltd, said the possibility of rising inflation under Trump’s presidency could cause the Federal Reserve to slow or pause its rate-cutting cycle, making investors nervous.
Spot gold rose 0.6% to $2,667.46 an ounce at 10:10 a.m. in London. The Bloomberg Dollar Spot Index fell 0.01% after rising 0.4% on Wednesday. Silver prices rose above $31 an ounce, while platinum and palladium were little changed.
More stories like this can be found at Bloomberg.com
Follow us On Social Media Twitter/X
