Sana'a: Gold prices rose to an unprecedented record high on Tuesday, extending gains into the sixth session, supported by a weaker dollar and growing bets on a US interest rate cut this month. Spot gold rose 0.6% to $3,495.01 per ounce, after earlier reaching a record high of $3,508.50. US gold futures for December delivery also rose 1.4% to $3,565.90.
According to Yemen News Agency, the sustained increase in gold prices has been driven by market expectations of a potential interest rate cut by the US Federal Reserve. This speculation has contributed to the weakening of the dollar, making gold a more attractive option for investors. As a result, the demand for gold has surged, pushing prices to new highs.
The upward trend in gold prices reflects investors' anticipation of changes in US monetary policy. The possibility of lower interest rates typically leads to a weaker dollar, encouraging investment in commodities like gold. This scenario has been a key factor in the recent rally of gold prices in global markets.
Market analysts continue to monitor economic indicators and Federal Reserve statements closely, as these will influence future movements in gold prices. The ongoing discussions and forecasts about US economic policies remain central to the decision-making processes of investors worldwide, particularly in the commodities market.