The bullion has been setting new all-time highs for three consecutive sessions. Bullion advanced 9.3% in March, marking its biggest monthly growth since July 2020.
Gold doesn’t stop shining: it hit a new record, is it time to buy?
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The price of gold touched a new all-time high on Tuesday, as demand for momentum funds offset the strength of the dollar and the possibility that interest rates will remain high for longer in the United States.
Spot gold rose 0.5% to $2,260.7 per ounce, after reaching a record high of $2,266.59. The bullion has been setting new all-time highs for three consecutive sessions.
“To the underlying bidding of retailers and Central banks are being joined by momentum speculators who have added to their already high positions. longs after the break above $2,200,” said Ole Hansen of Saxo Bank. “In addition, there is no doubt that geopolitical tensions have added an additional layer of support.”
Bullion advanced 9.3% in March, marking its biggest monthly growth since July 2020.
The rise of gold continued despite the strength of the dollar after data that showed the day before that the US manufacturing sector grew for the first time in a year and a half in March. Traders cut bets on a June rate cut to 62% after the reportaccording to CME Group’s FedWatch tool.
In other precious metals, spot silver rose 2% to $25.58 an ounce; platinum added 1.5%, $915.35; and palladium gained 2.1%, au$1,017.12.
Record Gold: Time to Buy or Sell?
The rising rate cut expectations, haven demand and central bank purchasesyes amid geopolitical tensions boosted gold this year.
Considered a refuge asset, gold does not pay interest, therefore It usually raises its price at times of low interest rates or in the face of imminent wars that cause a fall in the world’s stock markets.
Source: Ambito
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