Gold prices stayed the same during the early hours of Tuesday, marking the last trading day of a busy year. This year, gold had its best performance in over ten years!
What’s Happening?
– Spot gold remains at $2,606.07 per ounce, while U.S. gold futures went up by 0.1%, reaching $2,619.90.
– Trading is expected to be slow today since it’s the last day of the year.
Why Did Gold Do Well This Year?
Gold saw a lot of buying from central banks, easier money policies, and tensions around the world. This drove gold prices to record highs, making it the best year for gold since 2010 with a jump of over 26%!
What Might Affect Gold Prices Next Year?
– The U.S. Federal Reserve has adjusted their predictions. They now expect to lower interest rates by 50 basis points in 2025, down from 100.
– Fed Chair Jerome Powell said they will consider more rate cuts if inflation decreases.
– Usually, people buy gold to protect against inflation and uncertainty, but higher interest rates can make gold less attractive.
Looking Ahead
Investors are waiting for new developments that could affect gold prices. Several important U.S. economic reports will be released next week, including job openings, the ADP employment report, and the U.S. employment report.
China’s Gold Buying
In more news, China’s gold imports from Hong Kong more than doubled in November compared to October, reaching the highest level seen in seven months!
Other Precious Metals
– Silver is stable at $28.94 per ounce.
– Palladium is up by 0.1% to $901.49.
– Platinum dropped by 0.4% to $900.00.
Silver is on track for its best year since 2020, but platinum and palladium are expected to end the year with losses.
Upcoming Data
The next big update is the China Manufacturing PMI set for 1:30 AM GMT
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