International gold price expected to continue rising: analysts
(ECNS) –The international gold price maintained its upward trajectory, recording new highs on Friday, driven by factors including U.S. Federal Reserve policy shifts, geopolitical tensions, and increasing demand among central banks, with analysts predicting continued bullish sentiment amid expectations of a rate cut and safe-haven appeal.
COMEX gold futures for June closed 1.76 percent on Friday, reaching a staggering $2,349.1 per ounce. This marks another milestone in the relentless climb of gold prices, which have risen by over 14 percent since March.
Currently, the retail price of domestic gold jewelry from across China has surpassed 700 yuan (about $96.77) per gram.
“The currently rapid rise in gold prices began in early March when ISM Manufacturing PMI statistics came out significantly below expectations. Subsequently, Federal Reserve Board Governor Christopher Waller mentioned the reduction of MBS holdings while increasing Treasury holdings, further fueling market expectations of the Fed’s implicit easing of monetary policy, thereby driving the gold price upwards,” said Wang Yanqing, chief researcher of precious metals at China Futures.
U.S. economic statistics like rising unemployment, declining PCE price index, and lower-than-expected retail sales, confirmed that the resilience of the U.S. economy is diminishing, boosting expectations for the Fed’s rate cut in June and supporting the rise of gold prices.
Consumers shop at a gold jewelry store in Hohhot, Inner Mongolia Autonomous Region, on March 8, 2024. (Photo/China News Service)Related articles
The government wants to buy their flood
HOUSTON (AP) — After the floodwaters earlier this month just about swallowed two of the six homes th2024-05-21Southgate slams hapless Maguire's treatment as 'joke'
Jude Bellingham celebrates England's 3-1 victory over Scotland at Hampden Park in Glasgow on Tuesday2024-05-21China's basketball star Yi Jianlian announces retirement
Yi Jianlian. [Photo/CFP]China's basketball star Yi Jianlian, who was born on Oct 27, 1987, announced2024-05-21Shanghai swoons over Federer again as legend holds court
Roger Federer is hugged by a mascot as Chinese tennis star Zhang Zhizhen enjoys the moment at the Sh2024-05-21Justin Timberlake set to bring his The Forget Tomorrow World Tour to Australia in 2025
Justin Timberlake is set to bring his The Forget Tomorrow World Tour to Australia next year.Daily Ma2024-05-21Djokovic finds his winning rhythm
Serbia's Novak Djokovic keeps his eye on the ball during his Paris Masters second-round match agains2024-05-21
atest comment