- It’s hard to deny the safe-haven trade that has propelled gold prices back to $2,000 an ounce. The chaos in the Middle East caused by the Israel-Hamas war is providing solid momentum for gold, but there is more going on in the market than just the safe-haven trade.
Also released Friday was the updated University of Michigan consumer sentiment survey. While this report isn’t market-moving, it shows a sharp rise in inflation expectations. The report said that survey respondents see consumer prices rising 4.2% by this time next year, up from the initial estimate of 3.8%.
In this environment, gold prices should be struggling around $1,900; instead, the precious metal is seeing its highest weekly close on record, above $2,000 an ounce. Growing recession fears also coincide with concerns over the burgeoning U.S. deficit. While positive economic growth supports the bond market selloff, driving 10-year yields to 5%, some analysts have said the market is also impacted by weak demand.
Loans Loans Latest News, Loans Loans Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »