What's Driving This Sudden Price Surge?
Gold prices surged again to a six-week high on Monday, fueled by a weakening US dollar and increased investor interest in safe-haven assets. Spot gold rose to $4,240.54 per ounce, while December gold futures reached $4,276.00. Silver also stole the spotlight, hitting an all-time high of $57.86 before stabilizing at $57.48 per ounce.
In addition to the weakening dollar, a sell-off in US stock futures and the plunge in crypto prices like Bitcoin and Ether also boosted the precious metal's visibility. Investors are choosing to reduce risk amidst uncertain market conditions. Analysts say the risk-off mood has made gold a top choice again, as it is considered more stable than other speculative assets.
The rise in gold and silver prices was also supported by expectations of a Fed interest rate cut in December. Dovish statements from Federal Reserve officials and weak US economic data have further strengthened the market's confidence that policy easing will occur. Meanwhile, other precious metals such as platinum and palladium also strengthened, with investors now awaiting the release of core PCE inflation data on Friday as a key indicator of future policy direction. (az)
Source: Newsmaker.id
