Gold prices in global markets witnessed a strong rise at the start of trading today, with the price of an ounce exceeding the $5,000 level in early trading, recording an unprecedented record level in the history of the precious metal.
According to market data, the spot price of gold jumped to around $5,080 an ounce after the opening of trading, continuing the upward trend that the yellow metal has been experiencing since the end of last year, driven by increasing demand for safe havens.
Factors driving the increase:
Escalating geopolitical and economic tensions globally have boosted investor interest in gold.
The US dollar has weakened relatively against a basket of major currencies, which has increased the appeal of the precious metal to international investors.
Continued strong demand from investors, hedge funds and central banks for gold as a long-term hedging tool.
Futures market and forecasts:
US gold futures also recorded a notable rise at the start of trading, amid expectations that the precious metal will continue to hold steady at high levels in the coming period, if the current supporting factors continue.