Gold breaks historical records for daily growth

 Breaking News
  • Microsoft, Amazon and eBay are at record highs On Tuesday, securities of Microsoft Corp, Amazon.com Inc and eBay Inc broke records. The rush of investors’ demand for the shares of those companies involved in electronic commerce caused such...
  • Quarantine in Hong Kong is not for everyone Hong Kong is rescuing its stock exchange. In order to give life to the trading platform, the administration of the metropolis has shown flexibility concerning quarantine measures. So, Christopher Hui...
  • Economy of Japan demonstrates recession In the first quarter of this year, the economy of the Land of the Rising Sun dropped by 0.6% in monthly terms. The figures are not optimistic but are better...
  • Energy market news On Saturday, representatives of the countries included in the OPEC+ cartel managed to agree on the extension of the restrictions on oil production. It also became known that those countries...
  • Bentley fires employees in order to prevent losses in 2020 The Bentley brand has long been synonymous with luxury living. Unfortunately, the British automaker has to save because of a forced two-month break. The company’s CEO Adrian Hallmark said to...
Gold breaks historical records for daily growth
March 24
09:00 2020

Yesterday will definitely go down in the trading books. The most popular defensive asset has broken records. It’s about gold. Yesterday, precious metal futures increased $ 84.7 per ounce (5.7%) and broke the level of 1569.3 US dollars per ounce.

They began monitoring this asset in 1984. In all this time, the market has not yet seen such a high daily gain! If we consider the intraday growth not in dollar terms but in percentage terms, then it should be noted that the market observed a similar picture in the spring of 2009.

Gold is a traditional safe haven asset. Each time a weakening US dollar causes a surge in interest in the precious metal. This time, such an explosive growth was caused by the Federal Reserve public statements. The fact is that the regulator is not going to shut down the quantitative easing program. They will issue as much money and buy as many assets as needed. These statements expectedly caused the sale of the American currency.

Late at night, the asset price was slightly adjusted; the final increase amounted to 5%.

 

The material was prepared with the participation of Katya Wilson,
a leading analyst of the brokerage company UFT Group

Related Articles

0 Comments

No Comments Yet!

There are no comments at the moment, do you want to add one?

Write a comment

Write a Comment