Eco
Gold prices rose today, Thursday, regaining some of their losses that exceeded 1% in the previous session, while global markets await the anticipated speech of the U.S. Federal Reserve Chairman, Kevin Warsh, this week. Spot gold recorded a 0.5% increase, reaching $4615.27 per ounce, by 00:32 GMT. This rise follows a decline in prices yesterday, Wednesday, after economic data revealed continued high inflation rates in the United States. U.S. gold futures also rose by 0.4%, recording $4669.50. In a related context, U.S. annual inflation unexpectedly stabilized during last July, significantly exceeding the central bank's 2% target, for the sixty-fifth consecutive month. This halt in the inflation decline, especially after the recent rise stemming from tensions in the Gulf region, is likely to fuel discussions within the central bank regarding the necessity of raising interest rates or keeping them unchanged. The CME FedWatch tool indicates that markets anticipate a 36.5% chance of an interest rate hike in the United States during September, with this percentage rising to 72.7% by December. Gold, a non-yielding asset, typically loses its investment appeal with rising interest rates. Federal Reserve Chairman, Kevin Warsh, is expected to deliver his awaited speech tomorrow, Friday, at the Jackson Hole symposium. On the geopolitical front, Qatar's Prime Minister is visiting the Iranian capital, Tehran, in an effort to reactivate the diplomatic track, following the exchange of threats between the United States and Iran, where Washington vowed to increase economic pressure on Tehran by targeting its trading partners with sanctions. As for other precious metals, silver in spot transactions saw a 1% increase to reach $68.77, platinum's price rose by 0.7% to $1842.88, and palladium climbed by 0.3% to reach $1332.34.
