Gold prices rise above $2,000 per troy ounce

Gold prices during trading on the London Metal Exchange rose above $2,000 per troy ounce for the first time since March 11, 2022, Report informs referring to TASS.

During the day, gold traded at $2,003 an ounce.

09:30

Gold rose as a safe-haven asset on April 18 morning amid high inflationary pressures in the US, Report informs referring to the auction data.

The price of June gold futures on the New York Comex rose by $11, or 0.56%, to $1,985.9 per troy ounce. May futures for silver rose 1.19% to $26.01 an ounce.

The price of gold is supported by high inflation in the US. Thus, annual inflation in the country in March accelerated to a maximum since 1981 - to 8.5%. Traditionally, the precious metal acts as a hedge fund when consumer prices are high.

Gold is rising in price due to fears that higher inflation in the US will create demand for a safe-haven asset, DailyFX analyst Thomas Westwater told the Wall Street Journal.

However, although inflation is at more than a 40-year high, expectations for the future are changing. This is likely to put pressure on gold prices, the expert added.