Gold prices have conquered an all-time high

Late in the morning in the US market (midnight Vietnam time), the price of gold futures on the Comex floor increased sharply and reached a new record high of 2,085.40 USD/ounce. The precious metal surpassed the 2,078 USD/ounce mark set in early 2022 to successfully conquer the all-time high.

Gold prices have surged due to the demand for safe havens as the US banking system has seen many members collapse in succession, raising concerns about a US and even global economic recession.

Late morning of May 4 in the US market (midnight Vietnam time), gold price conquered the all-time high. Illustrative photo

Silver prices are also rising sharply and near yearly highs. Gold and silver bulls have the strong technical advantage, suggesting more upside ahead.

“A similar flight to safety” pushed gold above $2,000, said Bob Haberkorn, senior market strategist at RJO Futures. And the uptrend is still ongoing.

Economic uncertainty and lower interest rates boost demand for non-interest-bearing gold bullion.

“Inflation is going to persist for a while and that’s not necessarily going to allow the Fed to cut rates anytime soon,” said David Meger, director of metals trading at High Ridge Futures.

In the physical market, high prices have dampened demand for gold in Asia's top retail hubs.

US stocks fell sharply at midday on Thursday as risk aversion mounted this weekend. Another interest rate hike from the Federal Reserve on Wednesday afternoon did little to help the US banking system.

PacWest Bancorp, a California-based lender, is in trouble, reports say. Its stock price plunged 60% in after-hours trading on Wednesday. The bank is reportedly considering strategic options, including a sale.

PacWest is much smaller than Silicon Valley Bank and First Republic Bank, the first two banks to fail. But the news is pushing the U.S. banking turmoil into the spotlight and making traders and investors nervous.

Source: https://www.congluan.vn/gia-vang-da-chinh-phuc-moc-cao-nhat-moi-thoi-dai-post246372.html