Gold prices are rising this morning on the commodity markets: the precious metal for immediate delivery (Gold spot) was traded at $3,363.41 per ounce with an increase of 0.88%, while gold for June delivery (Comex) was traded at $3,371.50 per ounce with a growth of 1.48%. Later in the day, after the US-UK tariff agreement, the price fell, closing slightly down by 0.6% at $3,342. In any case, the ultimate safe haven asset, in a complex geopolitical moment, remains at very high levels.
The value of gold increases when global macroeconomic uncertainty rises along with tensions between countries. The agreement between the United States and the United Kingdom has been interpreted by investors and analysts as a positive signal for possible new agreements between the Trump administration and various world nations, starting with China.
Gold is soaring to new highs ($3,500), and speculation is also driving Bitcoin.
They call them “safe assets.” Essentially, they are safe harbors where global capital takes refuge when there is a storm brewing. A quintessential safe harbor remains gold. It’s no coincidence that the yellow metal’s prices continue to rise. For some time now, central banks worldwide have been increasing their reserves, which are now at their highest in 26 years.
And they are not the only ones buying. “Investors,” explains Kerstin Hottner, Head of Commodities at Vontobel, “continue to accumulate gold, as evidenced by the fact that in recent months, the precious metal reached $3,500 per ounce for the first time in history.
Its impressive rise, which has exceeded the expectations of most analysts for the entire year, implies that we are now in uncharted territory. The traditional factors that once influenced gold prices, such as US inflation and interest rates,” continues Hottner, “are no longer the main drivers. Instead, uncertainty about tariffs and concerns about global economic growth, combined with the market’s reaction to criticism of the Fed, are fueling demand for safe havens.
If the demand for safe havens remains strong in the coming months, gold, according to analysts, could exceed $3,700 by mid-year, if not sooner. One of the market movers in this case is the independence of the American Fed. A Supreme Court ruling is awaited regarding the removal of directors from other independent agencies. If the ruling were favorable to such removals, this could also affect the Fed. A risk currently underestimated. If realized, it could lead to further gold purchases.
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