December 23, 2024

” Gold Rate Today Int Market- April 3, 2024 ” | GNN INFO

Gold Rate Today Int Market- April 3, 2024

Gold took a breather after notching another record high on Wednesday as growing tensions in the Middle East and US interest rate cut hopes continued to push investors to the safe haven asset.

Spot gold was down 0.4% at $2,271.50 per ounce, as of 0958 GMT after hitting a record high of $2,288.09 earlier in the session. Analysts attributed the slight pullback to an uptick in U.S. yields .

U.S. gold futures gained 0.5% to $2,292.

Central bank buying and strong physical demand have also fuelled the about 10% gain in bullion so far this year.

“It seems as if gold turns every market development into a price increase,” said Alexander Zumpfe, a precious metals trader at Heraeus.

Federal Reserve policymakers on Tuesday said they think it would be “reasonable” to cut U.S. rates three times this year, even as stronger economic data recently has sown doubts about that outcome.

Gold tends to gain when interest rates are low, which reduces the opportunity cost of holding the non-yielding bullion.

“The US economy is surprising with its strong performance, which would make a first interest rate cut in June less likely and thus weigh on the gold price – but the precious metal is holding its value,” Zumpfe said.

Investors now await remarks from Fed Chair Jerome Powell later in the day for clues on when the central bank will deliver its first rate cut.

Meanwhile, oil prices rose as escalating geopolitical risks — including Ukrainian drone attacks on Russian refineries and tensions between Israel and Iran– raised worries about tighter supplies.

“With commodity prices rising in general, it brings the risks of another round of inflation – so perhaps investors are hedging for inflation,” City Index senior analyst Matt Simpson said.

Elsewhere, silver rose 0.5% to $26.24 per ounce, platinum was steady at $918.74 and palladium fell 1.1% to $992.32.



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