Gold Surged Above $2,000 an Ounce.
London, Tuesday, 08 March 2022
On Tuesday, gold rose to $2,066 an ounce, just $9 shy of its all-time high set in August 2020, as geopolitical and economic uncertainty resulting from the Russia-Ukraine conflict boosted demand for the safe-haven metal.
The United States has declared a ban on Russian oil imports, putting supply chains in jeopardy and putting additional inflationary pressure on economies around the world.
The metal's popularity as an inflation hedge was bolstered by rising commodity prices, which fuelled fears of stagflation for the global economy.
On the other hand, the possibility of considerably higher interest rates should keep prices in check, with Fed Chair Jerome Powell firmly supporting a 25-basis-point rate hike on March 16.
(Research and edit by: The Decision Maker)