Gold prices rise more than 2% as investors await Fed decision

Illustration photo. Photo: Internet

Gold buying from China after the holidays along with concerns about US tariffs also contributed to the increase in gold prices in this session.

Specifically, the spot gold price recorded an increase of 2.4%, reaching its peak since April 22 at 3,413.29 USD/ounce at 0:56 am on May 7 (Vietnam time).

Besides, US gold futures also increased by 3% at the end of the session, to 3,422.8 USD/ounce.

Investors are closely watching the Fed's policy decision on May 7 (local time). Statements from Chairman Jerome Powell are expected to signal the central bank's interest rate cut roadmap.

Gold prices often react strongly to changes in US interest rates. As interest rates fall, the US dollar loses value, making gold more attractive because it does not pay interest.

In addition, the Chinese market - the world's leading gold consumer - has also reopened after the Labor Day holiday from May 1-5, contributing to strengthening the upward momentum of gold prices.

Adrian Ash, research director at online precious metals trading platform BullionVault, said the market is being supported by new gold purchases from China, along with buying trends from central banks.

The number of speculators in China is growing, while Western investors are still holding less gold, and both factors could push the precious metal to $4,000 an ounce this year, said Daniel Ghali, commodity strategist at TD Securities.

In other precious metals markets, spot silver prices rose 1.9% to $33.1 an ounce, while platinum prices also rose about 2.4% to $982.52 an ounce.

In Vietnam, at the end of the session on May 6, Saigon Jewelry Company SJC listed the price of gold bars at 120.8 - 122.8 million VND/tael (buy - sell).

Cao Thong

Source: https://doanhnghiepvn.vn/kinh-te/gia-vang-tang-hon-2-khi-nha-dau-tu-cho-doi-quyet-dinh-tu-fed/20250507083146235