• 4 minutes Permian in for Prosperous and Bright Future
  • 7 minutes Amount of Oil Usage in the United States
  • 10 minutes America Could Go Fully Electric Right Now
  • 6 hours Something wicked this way comes
  • 10 hours Kalifornistan, CO2, clueless politicians, climate hustle
  • 44 mins JP Morgan Christyan Malek, report this Summer .. . We are at beginning of oil Super Cycle and will see $190 bbl Brent by 2025. LOL
  • 9 hours Tesla Battery Day (announcements on technology)
  • 1 day US after 4 more years of Trump?
  • 47 mins Why NG falling n crude up?
  • 2 days .
  • 1 day Ten Years of Plunging Solar Prices
  • 2 days Famine, Economic Collapse of China on the Horizon?
  • 2 days Natural Gas Saves Southern California From Blackouts
Gold Could Be Heading To $5,000

Gold Could Be Heading To $5,000

The COVID pandemic has sparked…

Do Gold Stocks Still Have Upside?

Do Gold Stocks Still Have Upside?

Gold miners’ stocks rocketed out…

The War On Gold Has Begun

The War On Gold Has Begun

There’s a major overlooked risk…

MINING.com

MINING.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

More Info

Premium Content

Gold Prices See Best Month In 8 Years

Gold prices edged higher on Friday as the worsening covid-19 pandemic continues to stifle the global economy.

Spot gold rose 11% for the month of July, heading for its biggest monthly gain in over eight years, driven by a declining US dollar and real yields. By 11:15 a.m. EDT, the spot price was up 1.0% to $1,974.40 per ounce, near an all-time high.

Concerns have also been raised about the US dollar’s status as the world’s reserve currency of choice as it gets closer to its biggest monthly drop in almost a decade. The US dollar is often seen by investors as a rival safe-haven asset to gold, and its decline makes dollar-priced gold cheaper for holders of other currencies.

Meanwhile, the pandemic may bring structural shifts to investors’ asset allocation, says the World Gold Council, and there are “strong fundamental reasons” supporting gold investment in the longer term.

Gold futures for December delivery, now the most actively traded contract, jumped 1.1% to $1,989.30 an ounce in New York. Gold traders on Thursday declared their intent to deliver 3.3 million ounces against the August contract, the largest daily delivery notice in bourse data going back to 1994.

Money managers allocated $3.9 billion into gold, the second largest weekly inflow ever, the Bank of America said on Friday.

“Gold is more of a store of value right now than pretty much anything else,” Michael Hewson, chief market analyst at CMC Markets UK, told Reuters.

“Optimism about a V-shaped recovery is very much at risk and gold is seeing the benefit from that. It’s quite likely that we’ll see $2,000 an ounce in fairly short order” Hewson said.

With more stimulus to resuscitate the economy on the horizon, Goldman Sachs Group has said that gold is the currency of last resort amid an inflation threat to the dollar. The bank forecasts a rally to $2,300 an ounce for the precious metal.

Bank of America Corp. says prices could soar to as high as $3,000 an ounce, while JPMorgan Chase & Co. sees the rally losing steam later this year.

By Mining.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News