Gold prices hit a record high of $2,600 on Friday, rising sharply as the prospect of further U.S. interest rate cuts boosted its appeal amid global uncertainty.
Spot gold rose more than 1 percent to $2,622 per ounce at the close of Friday’s session, after hitting $2,625.76 during the session, a new historic level that the yellow metal had never seen before.
Gold prices rose after the Federal Reserve began easing monetary policy by cutting interest rates by half a percentage point.
U.S. gold futures rose 0.6 percent to $2,630 an ounce, while silver rose 1.1 percent to $31.12 an ounce.
Gold has risen more than 27 percent since the start of this year, the biggest annual increase since 2010, as investors seek to hedge against uncertainty caused by conflicts in the Middle East and elsewhere.
The yellow metal also recorded an increase during the current month by about 5 percent, and achieved weekly gains of about 1.7 percent.
Analysts said the unprecedented rally could go through a correction period.
The unprecedented surge has eroded retail demand in China and India, the two largest consumers.
Analysts said the continued weakness of the dollar, which makes gold cheaper for holders of other currencies, provided additional support.
Among other precious metals, spot silver rose 1.2 percent to $31.16, platinum fell 1.1 percent to $978.50, and palladium fell 0.5 percent to $1,074.84, according to Reuters data.
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2024-09-22 15:30:37