On Monday, US futures gold prices and spot gold prices both broke through the $2000 an ounce mark, the highest level in nearly a year and a half. Market analysts believe that geopolitical tensions continue to be the main reason for the rise in gold prices.
The specific situation shows that the April gold futures price, which is the most actively traded in the gold futures market of the New York Mercantile Exchange, rose 36.10 US dollars over the previous trading day and is now trading at 2002.70 US dollars per ounce, an increase of 1.84 percent.
Spot gold rose $29.83 from the previous day to $2000.47 an ounce, or 1.51 per cent.
Other precious metals also showed significant gains. Silver futures for May delivery rose more than 0.4% to $26.22 an ounce, while spot palladium prices rose nearly 2% to $1149.90 an ounce, an all-time high.
On the news side, the war between Russia and Ukraine is still the protagonist of the market. Us Secretary of State Abraham Lincoln said yesterday that the US was working with European allies to study the possibility of banning Russian oil imports. Blinken said he had spoken to US President Joe Biden and other members of the cabinet about the ban on Russian oil imports.
According to the latest news, the Russian government has approved the list of unfriendly countries and regions, including the United States, EU member states, Britain, Ukraine, Japan and other countries.
"I suspect that global growth forecasts for 2022 will need to be significantly reduced, and it will be interesting to see what national central banks will do now," Jeffrey Halley, a senior analyst at OANDA, said in a report. It has been reported that the Bank of Japan may downgrade its economic assessment at next week's policy meeting.
The world's largest gold ETF--SPDR Gold Trust position rose 0.4 per cent on Friday and currently stands at 1054.3 tonnes, the highest since mid-March 2021.
Soaring commodities are not limited to gold, but there have also been significant increases in energy, industrial metals and agricultural products. On the energy front, light crude for April delivery in New York rose $7.30 to $122.98 a barrel, while Brent for May delivery rose $7.36 to $125.47 a barrel, both by more than 6 per cent.
Industrial metals traded on the London Metal Exchange (LME) surged across the board, with nickel futures rising nearly 29 per cent to $38741.50 a tonne, the highest level since July 2007, while Parisian wheat futures rose 11 per cent to 48 per cent since 2022.
"with the sharp rise in energy and food prices, risk aversion should continue to support gold for some time," said Shyam Devani, founder and technology strategist at SAV Markets in Singapore. "failure to address inflation in today's environment could push gold prices up to $2142 an ounce."
