Gold broke the $ 1,800 per ounce barrier for the first time since 2011
Analysts point to weakening the dollar and the need for central banks to inject unprecedented liquidity into the economy. Other safe havens, such as government bonds, have become less remunerative
Gold broke the symbolic barrier of $ 1,800 an ounce on Wednesday, below which it had been trading since November 2011, in an uncertain economic environment favorable to this safe haven.
In the London gold market, the ounce of this precious metal reached $ 1,800.86 at 08:30 GMT, its highest level in the last eight and a half years.
“Investors are still buying stocks but it seems they want to hedge themselves in the event of a market correction,” explains Carlo Alberto De Casa, an analyst at ActivTrades.
“On Wednesday, concern about the coronavirus and geopolitical tensions weighed on risk appetite,” which benefits gold, a traditional haven in uncertain times, said Fiona Cincotta of the City Index.
Covid-19 has killed more than 539,600 people worldwide since late December and has contaminated nearly 11.7 million, according to an AFP count based on official sources at 7:00 p.m. GMT on Tuesday.
In recent days, analysts have also pointed to the weakening of the dollar as a factor in the rise in gold.
Más de 1.100 personas murieron a causa del coronavirus en Estadods Unidos en las últimas 24 horas, sumando 131.362 desde el comienzo de la crisis.
Dado que el oro se cotiza en dólares, una moneda estadounidense más débil hace que el metal precioso sea menos costoso para los compradores que utilizan otras monedas.
And in a monetary environment in which major central banks have promised to inject unprecedented amounts of liquidity into the economy in recent weeks, other safe havens, such as government bonds, have become less remunerative.
Last week, gold had touched $ 1,800 an ounce, but did not exceed it. Its all-time high of $ 1,921.18 per ounce was reached in September 2011.