NEW YORK: Gold prices soared to an all-time high on Tuesday, surpassing the previous peak set in December, with gold hitting $2,141.79 per ounce before pulling back slightly.
This surge, attributed to concerns over global economic prospects, geopolitical tensions, and expectations of earlier interest rate cuts, marks a 15 percent increase in gold’s value compared to the same period last year.
Bitcoin also reached a record high above $69,000, benefiting from increased accessibility for trading and limited supply. The cryptocurrency’s value surpassed its previous peak set in November 2021.
Meanwhile, Wall Street’s major indexes opened lower, with the Nasdaq down one percent, following Monday’s decline. Tesla faced a three percent drop after disappointing sales in China and an act of sabotage at its factory near Berlin.
Market analysts suggest that despite this week’s downturn, the overall market trend remains positive, with a nearly 10 percent increase since the year began.
Federal Reserve Chair Jerome Powell’s upcoming testimony before a House panel on Wednesday will be closely watched for signals on potential rate cuts. While analysts expect rate cuts later this year, the Fed remains cautious, awaiting further inflation data.
In Europe, major markets were relatively unchanged, with German chemicals giant Bayer experiencing a six percent decline after reporting significant losses in 2023. London received a boost from network testing firm Spirent Communications’ agreement to a £1-billion takeover by US communications equipment maker Viavi.
