Gold prices rose today, Friday, on their way to recording the best weekly performance since mid-November, as the dollar fell and the focus returned to inflation risks after moves by global central banks to withdraw the stimulus packages that they offered to confront the Corona pandemic.
Spot gold rose 0.5% to $1,807.19 per ounce, while US gold futures rose 0.6% to $1,809.70 per ounce. The yellow metal rose about 1.4% this week.
And the demand for gold increased, while the dollar index was heading to record a weekly decline, after hitting its lowest level in a week yesterday, Thursday, after the Federal Reserve (the US Central Bank) announced that it would pave the way for three interest rate increases by the end of 2022.
Analysts said that gold rose despite the possibility of a US interest rate hike, which increases the opportunity cost of holding the precious metal, because investors had already considered the prospects of an interest rate hike before the Fed’s announcement.
Silver rose 0.6% to $22.60 an ounce, palladium rose 2.4% to $1,770.80, while platinum fell 0.1% to $935.48 an ounce.