GOLD HITS NEW PEAK AS ECB LOWERS RATES AND MIDDLE EAST TENSIONS RISE

Published on Oct 18, 2024 14:01

Gold prices surged past $2,700 per ounce on Friday, reaching a record high due to strong demand for safe-haven assets and expectations of further interest rate cuts from major central banks. The European Central Bank lowered its deposit rate to 3.25%, marking its third cut this year, while rising tensions in the Middle East, particularly after the death of Hamas leader Yahya Sinwar, added to the bullish sentiment. However, the dollar index reached 11-week highs around 103.4, which limited gold�s upward momentum. In the domestic market, MCX gold futures for December delivery rose by ₹313 to ₹77,420 per 10 grams.