Gold ended this Monday’s session (20) on a high, driven by trade tensions between the United States and China and fears about wars in Europe and the Middle East. Also on the radar, the impact of the US government shutdown, in its fourth week.
At Comex, the metals division of Nymex (New York Stock Exchange), gold for December ended up 3.46%, at US$4,359.4 per troy ounce. Already silver closed up 2.55%, at US$51.384 per troy ounce.
After a pause on Friday (17), precious metals resumed their rise amid the search for safe assets, despite gains in equity markets.
For analysts at RBC Capital Markets, widespread uncertainties – such as the US government shutdown, trade disputes with China and the independence of the Federal Reserve – are causing investors to increase their investments in gold.
For ANZ, interest in the precious metal is strategic for investors looking to protect themselves from the scenario.
With the price rise, the market is close to a short-term correction with profit-taking and speculative flows, Axi predicts. Despite this, the company claims that the precious metal could reach the range of US$5,000 per troy ounce next year.
In the geopolitical field, Israel returned to bombing Hamas targets over the weekend, following allegations that the group had broken the ceasefire in Gaza.
In Europe, a report from Financial Times revealed a tense meeting between US President Donald Trump and Ukrainian President Volodimir Zelenski, reducing expectations for a peace agreement soon.
The shutdown of US government activities reached its 20th day today, becoming the third longest in American history. For the director of the National Economic Council of the United States, Kevin Hassett, the shutdown should come to an end this week.
*With information from Dow Jones Newswires.
