Up Thin, World Gold Price Ends Still Below 2,000 US Dollars

Gold Illustration (Photo: Doc. Antara)

JAKARTA - The world's gold price rose slightly below the psychological level of $ 2,000 at the end of trading Monday, April 24, United States time. Turned it higher from the loss of the previous session, as the dollar weakened ahead of the Federal Reserve's decision on closely watched US interest rates.

The most active gold contract for June's delivery in the Comex New York Exchange division, raised 9.30 US dollars, or 0.47 percent, to close at 1,999.80 US dollars per ounce, after touching the highest level of the session at 2,001.20 US dollars and falling about 2.50 percent from April 13 peak at around 2,050.00 US dollars.

Gold futures fell 28.60 US dollars or 1.42 percent to 1,990.50 US dollars on Friday (21/4/2023), after rising 11.80 US dollars or 0.59 percent to 2,019.10 US dollars on Thursday (20/4/2023), and declining 12.40 US dollars or 0.61 percent to 2,007.30 US dollars on Wednesday (19/4/2023).

The US government's dollar and bond yield both turned lower on Monday (24/4/2023) after last week's rebound from a one-year low.

The US central bank is widely expected to add another quarter of the points to what will be a tenth interest rate increase in less than 15 months in a meeting next May, bringing interest rates to a peak of 5.25 percent from the pandemic era to only 0.25 percent.

"Gold trying to get back to its original place, above the level of $ 2,000 per ounce," said Ed Moya, an analyst on online trading platform OANDA.

"The weakening of the dollar helps deliver higher gold as investors are starting to believe that the Fed will provide more lower interest rates next year."

The $2.000 level remains an important psychological price point for gold. Market analysts argue that gold is in correction. Since market confidence is still fragile, gold as a safe haven will remain attractive to investors for a while.

Investors are also waiting for a report on US gross domestic product to be released on Thursday (27/4/2023).

Another precious metal, silver for May delivery rose 25.30 cents, or 1.01 percent, to close at 25.311 US dollars per ounce. Platinum for July delivery slumped 41 dollars, or 3.60 percent, to settle at 1,097.70 dollars per ounce.