Gold in 3 months worldwide, established for the best year since 2010
NEW DELHI: Gold prices On Tuesday it rose to its highest level in more than three months with a weakened dollar, with metal on the way for its best annual show in almost a decade, while palladium jumped to its fourth consecutive annual gain.
Gold dot It reached its highest level since September 25 at $ 1,525 and rose 0.6% to $ 1,523 per ounce. The United States gold futures rose 0.6% to $1,528. Bullion has gained nearly 19% in the year, its biggest since 2010, mainly driven by a tariff war between the US and China, which triggered monetary policy easing by major central banks. “One of the main drivers behind gold ’s gain is the weakening in the dollar,” said Margaret Yang Yan, a market analyst at CMC Markets, adding prices also rose on year-end bargain-hunting.
The dollar slipped against a basket of rivals, making gold cheaper for holders of other currencies. “However, the upside is kind of limited because quantitative easing or rate-cutting cycle has come to an end for now and we don’t see a possibility of any rate cuts in 2020,” Yan said.
The United States Federal Reserve reduced interest rates three times this year before taking a break. Lower interest rates reduce the opportunity cost of keeping the bullion out of return. On the commercial front, a phase 1 agreement is likely to be signed next week, said White House commercial advisor Peter Navarro.