• Gold has surged more than 27% since the start 2024, marking the biggest annual rise since 2010, as investors’ hedge against uncertainty caused by conflicts in the Middle East and other regions.
Gold surged past the $2,600 mark for the first time during Friday’s trading, fueled by signs of further interest rate cuts in the United States and rising tensions in the Middle East, Q8-Press reported.
Historical rise
Gold in spot transactions rose by more than 1% to $2,622 per ounce by the end of Friday’s session, after reaching $2,625.76 earlier in the session, marking a new all-time high for the yellow metal. US gold futures increased by 1.2% to $2,646.20 upon settlement.
Gold prices climbed after the Federal Reserve (the US central bank) began easing monetary policy by cutting interest rates by half a percentage point.
Gold has surged more than 27% since the start of the year, marking the biggest annual increase since 2010, as investors hedge against uncertainty caused by conflicts in the Middle East and other regions.
Gold prices witness 5% rise this month
The yellow metal also saw a rise of around 5% this monthand recorded a 1.7% gain in the latest session.
Analysts suggested that the unprecedented upward trend could be followed by a correction period.
The sharp rise has also weakened demand in China’s retail sector and India, the world’s largest gold consumers.
Analysts noted that the continued weakness of the dollar, which makes gold cheaper for holders of other currencies, provided additional support.
Among other precious metals, silver in spot transactions rose 1.2% to $31.16, while platinum fell 1.1% to $978.50, and palladium declined 0.5% to $1,074.84, according to Reuters data.
