Gold price reaches an all-time high recorded on Wednesday, July 17 due to rising expectations of a US interest rate cut in September. This comes after comments from Federal Reserve officials increased market confidence in the policy change.
- Spot gold hit a record high of $2,482.29 per ounce before settling at $2,473.89, a 0.2% increase.
- US gold futures also gained 0.4%, reaching $2,478.50.
- Market expectations for a September rate cut are at 100% according to the CME FedWatch Tool.
Experts believe lower interest rates make gold, a non-yielding asset, more attractive to investors. Additionally, geopolitical tensions and potential recessionary threats could push gold prices even higher, reaching $2,600-$2,700 by the second half of 2024.
Experts believe that lower interest rates make gold, a non-yielding asset, more attractive to investors. Also, geopolitical tensions and potential recession threats could push gold prices even higher, reaching $2,600-$2,700 by the second half of 2024.
While gold prospers, silver prices dipped 1.4%, and platinum and palladium prices rose by 2.1% each. Analysts attribute this to gold’s role as a safe-haven asset during times of uncertainty.
