Mubasher – Mustafa Reda: Gold futures prices rose in trading today, Monday, by more than 1 percent, with the decline of the dollar against major currencies, and the growing concerns about long-term inflation due to the rise in oil prices in global markets.
The price of the yellow metal contracts for June delivery increased by $20, to rise to the level of $2006.2 an ounce.
The spot price of gold also rose by about 1 percent, with gains of $19.7, to settle at $1988.9 an ounce.
Gold futures achieved monthly and quarterly gains by the end of March 2023 trading, despite a loss of $11.5 when trading last Friday.
Futures prices for the yellow metal ended March trading, with an increase of 8.1 percent for the current month, with a gain of 8.8 percent during the first quarter of 2023.
The dollar fell
The performance of gold comes with the decline of the dollar against the major currencies in the global markets, and by 3:42 pm GMT, the green paper fell against the euro by 0.5 percent, at the level of $ 1.0890.
The dollar also declined against the Japanese yen by 0.4 percent, at 132.34 yen, and fell against the pound sterling by more than 0.4 percent, at 1.2394 dollars.
Reduce oil production and inflation
The performance of the yellow metal also reflects the attractiveness of bullion as a safe haven after a sudden cut in oil production by “OPEC +”, and a significant rise in crude prices during trading, which raised fears of long-term inflation, and raised a state of uncertainty about the response of central banks to that wave.
Oil prices broke during today’s trading, the barrier of $ 84 a barrel, after the “OPEC +” group announced support for a voluntary reduction in the production of some countries from crude, amid astonishment from the United States at the decision.
By 2:57 pm GMT, the benchmark Brent crude futures price increased by 5.6 percent, with gains of $4.39, to record a barrel of oil at $84.41.
The price of futures contracts for “Nymex” crude for delivery next May rose by more than 5.7 percent, to gain $4.33 and settle at $80 a barrel.