Gold closed higher on Tuesday, completing three consecutive bullish sessions, with investor focusing today on Federal Reserve Chairman Jerome Powell ‘s statements to Congress on inflation and the Fed’s strategy for the coming months.
Powell reiterated today that the central bank will not allow high inflation to be consolidated and is ready to use all the tools at its disposal, while at the same time assuring that the new strategy of the bank will not jeopardize the economic recovery and labor market.
In a speech to Congress, the Fed chairman tried to reassure investors that the central bank’s shift to a tighter monetary policy in 2022 would not threaten the economy’s gains after the catastrophic 2020 recession, analysts said.
Against this background, the February gold delivery contract gained $ 19.70 or 1.1% and closed at $ 1,818.50 an ounce on the New York Mercantile Exchange.
Silver gained sharply, with the March contract climbing 35 cents or 1.6% to $ 22,812 an ounce. March copper jumped 1.8% to $ 4,429 a pound.
As for the rest of the metals, April platinum with a rally of 4.2% climbed to $ 973.20 per ounce, while palladium for March gained 0.7% to $ 1,922.10 per ounce.