World gold price increased by nearly 60 USD per ounce

Each ounce of gold increased by nearly 60 USD, at times reaching nearly 3,540 USD due to the possibility of the US reducing interest rates and increasing political and economic risks.

World spot gold prices increased by 58 USD to a record 3,531 USD an ounce.

At the end of the trading session on September 2, the world spot gold price increased by 58 USD to a record 3,531 USD per ounce. During the session, the price reached nearly 3,540 USD at one point.

Investors are pouring money into the precious metal as the US Federal Reserve (Fed) is likely to cut interest rates. Political and economic risks are also rising. Since the beginning of the year, the world gold price has increased by 35%.

"The gold market is entering the big consumer season of the year. Combined with expectations of a Fed rate cut at its September meeting, we expect prices to continue to reach new highs," commented Suki Cooper, a precious metals analyst at Standard Chartered Bank.

The CME FedWatch tool shows that the market now sees a 92% chance of a Fed rate cut this month. Gold tends to rise in a low-interest-rate environment.

Analysts said this year's rally in precious metals was supported by sustained buying by central banks, diversification needs to avoid dependence on the dollar, safe-haven demand amid political and trade tensions and a weaker US dollar.

Uncertainty surrounding US President Donald Trump’s policies has also added to the appeal of gold. His conflict with the Fed, notably his criticism of Chairman Jerome Powell and his efforts to remove Board of Governors member Lisa Cook, has raised concerns about the agency’s independence.

"The accusation against Cook is a clear warning to other members of the Fed about having to lower interest rates under government pressure. This makes gold investment more attractive," Commerzbank commented.

Investors are looking ahead to the U.S. jobs report this week for further clues on the size of the rate cut. A less-than-optimistic report could increase the odds of a 50 basis point (0.5%) cut, said Zain Vawda, an analyst at MarketPulse by OANDA.

Buying interest from gold ETFs this year has also bolstered the precious metal’s rally. SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings rose 1% last week to 977.6 tonnes, the highest since August 2022.

PV (synthesis)

Source: https://baohaiphong.vn/gia-vang-the-gioi-tang-gan-60-usd-moi-ounce-519814.html