Gold and Silver Hit Record Highs, Stocks Remain Strong at Year-End
Gold and silver hit record highs on Friday, driven by heightened geopolitical tensions and a weakening US dollar. Silver prices surged 4.6%, surpassing $75 an ounce for the first time. Meanwhile, gold also rose 1.2% to break through $4,500 an ounce, continuing its historic rally driven by safe-haven demand. This year, gold is expected to post its best annual gain since 1979.
In the stock market, the MSCI All Country World Index rose 0.2% in Asian trading, leading the annual rally dubbed the "Santa Claus Rally," which is expected to push stocks to new records. The S&P 500 Index also posted its fifth consecutive gain despite low market volatility. Market optimism is driven by strong US economic growth, although speculation about Federal Reserve interest rates and technology stock valuations remain questionable.
In the commodities sector, oil is expected to post its biggest weekly gain since October. This was triggered by the US blockade of oil shipments from Venezuela and the US military offensive against terrorist groups in Nigeria, which raised concerns about global oil supplies. Copper also surged, hitting records in Shanghai and New York, as investors bet on tighter global supplies in 2026.
Meanwhile, the Japanese yen weakened 0.2% against the dollar after data showed lower-than-expected inflation in Tokyo, fueling speculation that the Bank of Japan will delay further interest rate hikes. Meanwhile, the Chinese yuan strengthened after the People's Bank of China (PBOC) set its daily reference limit below market expectations, indicating an effort to slow the appreciation of its currency. (asd)
Source: Newsmaker.id
