World Gold Prices Strengthen After A 3 Day Drop In A Row

Price of gold (photo: Doc. Antara)

New YORK - Gold prices rose on trading Friday, May 19 local time. The strengthening stopped the fall for three consecutive days.

The strengthening, after talks to raise the US debt ceiling, pushed the dollar lower for the first time in five sessions, helping gold safe havens for rallys.

The most active gold contract for June delivery in the Comex New York Exchange division, raised 21.80 US dollars, or 1.11 percent, to close at 1,981.60 US dollars per ounce, after touching the highest level of the session at 1,987.40 US dollars and the lowest at 1,956.30 US.

Gold futures plunged 25.10 US dollars or 1.26 percent to 1,959.80 US dollars on Thursday (18/5/2023), after dropping 8.10 dollars or 0.41 percent to 1,984.90 US dollars on Wednesday (17/5/2023), and dropping 29.70 US dollars or 1.47 percent to 1,993 US dollars on Tuesday (16/5/2023).

Setelah penurunan tiga sesi menujung level terendah tujuh minggu, emas rebound secara teknis. Emas mencatat kerugian 1,9 persen untuk minggu ini, kerugian mingguan terbesar sejak awal Februari.

The US dollar fell on Friday (19/5/2023) as investors were betting on the less hawkish Fed and negotiations on the US debt limit suddenly stalled, with the dollar index measuring the greenback against six other major currencies, down 0.37 percent to 103.1924.

President Joe Biden and his top Republican rival at Congress Kevin McCarthy previously said they were closer than ever to reaching an agreement to raise the US debt ceiling by 31.4 trillion US dollars, and that the conclusion could be drawn as early as Sunday (21/5/2023) to avoid defaulting federal payments as of June 1.

But media reports on Friday (19/5/2023) showed that the talks resulted in nothing.

Meanwhile, in a speech at the Fed's research conference on Friday (19/5/2023), New York Federal Reserve President John Williams stated that the economy could one day return to the very low interest rate era that existed before the COVID-19 pandemic in early 2020.

"There is no evidence that the very low epoch of natural interest rates has ended," Williams said.

Investors are waiting for the minutes of a meeting of the Federal Open Market Committee (FOMC) for May which will come out on Wednesday (24/5/2023), gross domestic product on Thursday (25/5/2023), and main inflation data on Friday (26/5/2023).

Another precious metal, silver for July delivery rose 42.70 cents, or 1.81 percent, to close at 24.06 dollars an ounce. Platinum for July delivery rose 17.50 dollars, or 1.65 percent, to settle at 1,075.70 dollars an ounce.