Gains of 1.7% for gold in the midst of global shocks

With stock markets sweeping the wave of sales worldwide, investors turned to the safe haven of gold, which closed for a second consecutive bullish session.

Thus, after the small gains of 0.3% yesterday, the August gold delivery contract strengthened significantly today by $ 30.30 or 1.7% and completed transactions in $ 1,849.9 the ounce.

With the Fed announcing a staggering 0.75% interest rate hike yesterday, a move that has been around since 1994, the dollar has been moving lower today, boosting investor interest in the precious metal as lower US currency prices make it more accessible to holders of other exchange rates.

“Gold is starting to look quite attractive as betting on the US economy looks risky,” said Edward Moya, a senior analyst at OANDA.

According to him, “as the dollar rally has peaked and investors are looking for safe havens, the gold markets look quite interesting.”

At the same time, of course, the corresponding moves that followed today from other central banks, with the unexpected increase in interest rates in Switzerland and the planned in English, led to a new rise in bond yields that compete with gold, which does not offer stable return on investment.

Elsewhere, most metals were bullish, with silver also up 2.1% at $ 21.88 an ounce.

Platinum jumped 2.5% to $ 948, palladium rose 1.9% to $ 1,873, but not copper, which did not keep up with the day and fell 1.6% to $ 4,068 a pound .