The price of gold has reached a new high, surpassing the $3600 per ounce mark for the first time. During trading on September 5, December futures on the Comex exchange rose by 1.2% and settled at $3554.2 per ounce.
This is reported by Finway
Factors Influencing Price Growth
The main factor driving prices upward was weak labor market data from the United States. According to official information, only 22,000 new jobs were created in the country in August, while analysts had forecast an increase of 75,000. Additionally, previous figures for June and July were revised downward by 21,000 jobs.
"Weak U.S. labor market data has heightened expectations for a rate cut by the Federal Reserve, providing support for the gold market."
The unemployment rate in August rose to 4.3% compared to 4.2% in July, marking the highest level since October 2021. Against this backdrop, traders predict that the Federal Reserve may lower the key rate by 25 basis points in September with an 84% probability, while the likelihood of a 50-point cut is estimated at 16%.
Gold Price Growth Dynamics
Since the beginning of the year, gold has increased in price by 37%. In 2024, the metal’s value has risen by 27%. Several key factors have contributed to this significant increase: the depreciation of the U.S. dollar, active gold purchases by central banks, easing monetary policy, and global geopolitical and economic instability.