This morning, gold has finally changed its negative dynamics. Precious metal futures contracts began to grow.
Gold futures for August delivery went up by 0.03% in value during New York trading, sending them to the level of $ 1,722.35 per troy ounce. This slight rise was evidence of the breaking trend in the precious metal market. Support for gold settled at $ 1,671.7 per troy ounce, while resistance turned out to be at $ 1,729.4 per troy ounce.
The main reason for the increase in the price of gold is the weakness of the US national currency, which has been declining for several days in a row against the expectation of decisions by the Federal Reserve Service. Investors expect the regulator to take further steps that can support the state’s weak economy after the coronavirus pandemic.
Most experts warned against hasty conclusions that the main stage of the acute crisis in the United States has already passed. In their opinion, the positive dynamics of the indicator on the growth in the number of jobs does not mean that the crisis is over and rapid growth will follow.
The regulator is fully aware of this, therefore, it will most likely continue its soft monetary policy for some more time, which should be enough to really stabilize the situation. In the meantime, forecasts for economic growth remain in the negative zone. All this seriously puts pressure on the greenback, which in turn acts as a support for gold and other metals in the market.
A new portion of forecasts made investors doubt the persistence of growth in the stock markets, which in the near future could make them return to “safe haven” to preserve their assets.
Futures for silver for July delivery increase in value by 0.10% on trading floors today which raises it to the level of $ 17.812 per troy ounce.
The cost of palladium, on the contrary, decreased by 0.2% and was at the level of 1 937.43 dollars per troy ounce. It was followed by the price of platinum, which fell by 1.1%, which pushed the metal to the mark of 827.95 dollars per ounce.
Copper futures for July delivery are also gaining ground today. Its price in the morning increased by 0.46% and stood still at 2.611 dollars per pound.