Quick access to main page (top) Direct access to main contents Quick access to main page (bottom)

Inflation-Driven Gold Rush: Price per Ounce Breaches $2300 for the First Time

Daniel Kim Views  

As expectations grew that U.S. inflation would not easily slow down, the price of gold futures broke through $2300 per ounce for the first time on March 3rd.

On this day, the closing price of gold futures for June delivery on the New York Mercantile Exchange recorded $2315.0 per ounce, up $33.2 (1.5%) from the previous day. The price of gold surpassed $2300 per ounce for the first time. The price of gold surpassed the $2100 line for the first time on March 4th and broke the $2300 line just a month later.

Experts believe that participants in the gold market are betting on a rebound in inflation or an early interest rate cut by the Federal Reserve (Fed).

Typically, the value of gold rises when inflation expectations increase or interest rates fall. There is also demand for gold as a safe investment asset in preparation for crises.

Amid growing concerns about the resumption of inflation, Federal Reserve Chairman Jerome Powell’s remarks on the day led to a decline in U.S. Treasury yields, boosting the gold price.

Chairman Powell said it was “too early to determine whether recent inflation indicators mean more than a simple bump,” easing a market wary of hawkish (preferring monetary tightening) remarks.

The deepening U.S. fiscal deficit and concerns about the resumption of inflation are fueling the rise in the gold price.

Daniel Kim
content@viewusglobal.com

Comments0

300

Comments0

[BUSINESS] Latest Stories

  • Honda's NSX Returns: A 1,000-Horsepower Electric Rival to Lexus LFR
  • Honda’s S7 Electric SUV: A Major Player in the Race for EV Dominance
  • Lamborghini's First EV: A 2,000-Horsepower Beast Built for Speed and Emotion
  • Ford Revives Classic Design with the 2025 Bronco Heritage Edition
  • ID.EVERY1: Volkswagen's $21K Electric Vehicle Aims to Make Green Driving Accessible
  • Toyota’s bZ3X SUV Surges with 10,000 Pre-Orders: A New Era in EVs

You May Also Like

  • 1
    4:3 Fasting Helps Shed More Pounds Than Daily Dieting, Says New Study

    LIFESTYLE 

  • 2
    This Study Says Winter-Conceived Babies May Grow Up Leaner—Here’s Why

    LIFESTYLE 

  • 3
    Harvard Reveals 7 Easy Chair Exercises That Are Surprisingly Powerful for Seniors

    LIFESTYLE 

  • 4
    Spring Is Here, So Why Are You Exhausted and Anxious?

    LIFESTYLE 

  • 5
    Why Cancer Risk Soars After a Type 2 Diabetes Diagnosis—Even Without Obesity

    LIFESTYLE 

Popular Now

  • 1
    Dark Red vs. Bright Red: How to Spot Colon Cancer Early

    LIFESTYLE 

  • 2
    Is 'Bad' Cholesterol Messing with Your Brain? New Study Says Yes

    LIFESTYLE 

  • 3
    New Study Finds Coffee Supercharges Good Gut Bacteria — Even Decaf

    LIFESTYLE 

  • 4
    Powder, Liquid, or Bar? Here's the Best Protein for Your Fitness Goals

    LIFESTYLE 

  • 5
    Your Pillow Is 17 Times Dirtier Than a Toilet Seat—the Gross Truth

    LIFESTYLE 

Must-Reads

  • 1
    4:3 Fasting Helps Shed More Pounds Than Daily Dieting, Says New Study

    LIFESTYLE 

  • 2
    This Study Says Winter-Conceived Babies May Grow Up Leaner—Here’s Why

    LIFESTYLE 

  • 3
    Harvard Reveals 7 Easy Chair Exercises That Are Surprisingly Powerful for Seniors

    LIFESTYLE 

  • 4
    Spring Is Here, So Why Are You Exhausted and Anxious?

    LIFESTYLE 

  • 5
    Why Cancer Risk Soars After a Type 2 Diabetes Diagnosis—Even Without Obesity

    LIFESTYLE 

Popular Now

  • 1
    Dark Red vs. Bright Red: How to Spot Colon Cancer Early

    LIFESTYLE 

  • 2
    Is 'Bad' Cholesterol Messing with Your Brain? New Study Says Yes

    LIFESTYLE 

  • 3
    New Study Finds Coffee Supercharges Good Gut Bacteria — Even Decaf

    LIFESTYLE 

  • 4
    Powder, Liquid, or Bar? Here's the Best Protein for Your Fitness Goals

    LIFESTYLE 

  • 5
    Your Pillow Is 17 Times Dirtier Than a Toilet Seat—the Gross Truth

    LIFESTYLE 

Share it on...