In the face of an unfathomable extent of pandemic-driven uncertainties whirling around the money markets across the globe, gold futures’ prices all over the world had surged on Friday, as a spike in pandemic cases in the United States vindicated by an Apple Inc.
move to shut some of its US stores on a temporary basis, had been feathering worries of a second wave of pandemic outbreak which in effect might obligate the Governments to impose new lockdown measures, eventually heightening up the safe-haven appeal of the precious gold.
On top of that, while the US gold futures’ prices had climbed over 1.3 per cent to surpass a psychological resistance level of $1,750 an ounce on Friday, silver futures’ prices had registered their second consecutive weekly percentage gain, nonetheless, palladium reported second straight weekly decline amid what appeared to be a surprise supply glut.
Gold gains as pandemic uncertainties persist
Citing statistics, on Friday’s commodity market wind down, the spot gold futures’ prices climbed 1.1 per cent to $1,743 an ounce, while the US gold futures’ prices had rounded off the day 1.3 per cent higher to $1,753 an ounce and the platinum futures’ prices gained 1.2 per cent to $813.56 an ounce, marking up a 0.9 per cent weekly percentage gain.
Meanwhile, addressing that the spot gold futures’ prices across the globe would likely to witness further upswings amid a daedal deterioration in appeals for the riskier assets, founder and Chief of Circle Squared Alternative Investments in New Jersey, Jeffrey Sica said on Friday’s commodity market closing bell, “There are continued upturns in COVID-19 throughout the South and Southwest of U.S.
with uptick in the hospitalization rate. ... That has caused a little bit of concern of another shutdown, which is benefiting gold. No matter what the long-term consequences, like inflation, there will be continued stimulus throughout the world and that will keep gold prices supported in the long term,” while Saxo Bank analysts wrote in a client report that a fresh buying wave would likely to propel US gold futures’ prices above $1,800 an ounce in a near- to medium-term outlook.