Why did gold rise strongly in today's trading?
Gold jumps to its highest level in 3 weeks
Gold prices today rose 1.5 percent on Tuesday to a three-week high, because the dollar and U.S. Treasury yields tumbled, amid investor hopes that the U.S. Federal Reserve System will ease its sharp interest rate hike policy.
Spot gold rose 1.5 percent to $1,723.99 an oz by 18:17 GMT, its highest level since September 13.
US gold dragon futures rose 1.7 percent to $1,730.50.
The dollar index continued to fall, making gold less costly for buyers abroad. Ten-year US Treasury yields also fell.
As for other precious metals, the worth of silver in spot transactions rose by 1.2 percent to $21.01 an oz , the very best level in more than three months, after recording yesterday the simplest daily performance since 2008.
the worth of palladium also jumped 3.9 percent to a five-month high of $2,306.71, and platinum 2.8 percent to $928.
the most factors that pushed gold to the upside
Gold prices jumped strongly for the second session of the week, as investors' risk appetite declined sharply in light of expectations that the euro zone economy would stagnate this year, and therefore the region recorded the highest inflation rate ever for the second consecutive month.
At the identical time, the Federal Reserve Bank of Australia raised interest rates this morning by 25 basis points to only 2.60%, after markets were expecting a 50 basis point hike, which raised the caution of the many investors about the upcoming US Fed decision.
These developments prompted investors to refrain from the US dollar, which was subjected to widespread selling, which pushed it to say no sharply today, allowing gold stock to rise strongly, because the dollar index - which measures the performance of the US currency against 6 other major currencies - declined by 0.515 to 111.23 points.
gold prices now
Spot gold prices rose by 0.42% to succeed in $1,706.60 an oz, after touching its highest level since September 14 early within the session, because it had risen by 2.5% within the previous session, and top gold futures prices for December delivery rose by 0.92% to succeed in 1,717.50. dollars an oz .
On the opposite hand, additionally to gold, silver futures contracts for December delivery rose by 1.805 to $20.96 an oz ,and palladium rose by 0.90% to $911.46 an oz ,and palladium also rose by 2.24%, recording $2,275.94 an oz .
