October 30, 2020

gold and silver costs: Gold hits highest since September 2011, silver at 4-year peak

Gold costs jumped to their highest since September 2011 on Monday, and silver hit an over four-year peak as a spike in COVID-19 infections and hopes for elevated stimulus measures supported safe-haven demand.

Spot gold rose 0.4% to $1,816.56 per ounce by 11:22 a.m. EDT (1522 GMT), having touched a excessive of $1820.06 earlier within the session.

US gold futures rose 0.5% to $1,818.70 per ounce.

“Gold’s gaining reputation exponentially proper now, simply due to all of the inflationary elements: the yield curve, cash printing, worries concerning the economic system and COVID,” stated Michael Matousek, head dealer at US World Buyers.

“Whenever you see one thing (occur) within the bull market, you wish to purchase the pullbacks. … You could have lots of people focusing on the $1,825 stage; if it breaks above, it might go increased.”

Gold is buying and selling beneath its all-time peak of $1,920.30 an oz. hit in September 2011, with costs primarily boosted by a wave of financial stimulus measures to shelter the affect of the pandemic.

Indicators that the European Union international locations are keen to compromise on a 1.eight trillion-euro ($2 trillion) coronavirus stimulus plan, must also hold bullion effectively supported.

Instances of the coronavirus, which has contaminated greater than 14 million folks globally, proceed to soar in the US, with consultants on the US Facilities for Illness Management and Prevention warning that circumstances and deaths might rise this autumn and winter.

Elsewhere, silver rose 2.4% to $19.76 per ounce, having hit a peak since September 2016 at $19.81 on growing safe-haven flows.

Recovering industrial demand alongside provide issues in Latin America amid rising coronavirus circumstances that threaten its provide chains have additionally helped drive silver costs increased, Societe Generale stated in a notice.

Palladium gained 2% to $2,061.42 per ounce, whereas platinum rose 0.7% to $843.52 per ounce.