Gold Price Remains Strong as Investors Continue to Back Gold

Gold futures closed higher Tuesday (Feb. 8) as investors continued to buy gold as an inflation hedge. According to forecasts, U.S. inflation is expected to remain high.

  • Gold futures were up $6.10, or 0.3%, at $1,827.90 an ounce.
  • Silver was up 12 cents, or 0.5%, at $23.20 an ounce.
  • The platinum contract was up $16.3, or 1.6%, at $1,036.30 an ounce.
  • The palladium futures were up $4.10, or 0.2%, at $2,264.20 an ounce.

Given analysts’ forecasts for the consumer price index, investors bought gold for the third day in a row as a hedge against inflation. The inflation index, a measure of change in consumer prices, is expected to rise 7.2% year-over-year in January. This would be the highest level since February 1982. The U.S. Bureau of Labor Statistics will release the data on Thursday.

The release of U.S. inflation figures will be another jigsaw ahead of the Fed meeting on monetary policy on March 15-16. With inflation remaining high and labor market figures also good, the Fed could have important arguments for a first rate hike.

Investors continue to keep an eye on the tense situation in Ukraine. Recently, Russian media reported that the Russian army began new exercises in the south of the country yesterday. This comes just hours after Russian President Vladimir Putin and French President Emmanuel Macron held talks to defuse the Ukraine crisis.

The exercises are scheduled for three weeks, with night exercises also planned. Missiles, tanks and armored vehicles will be used. However, the exercise area is not on the Ukrainian border.

The Spot Market is Open

Wednesday, February 9, 2022

Metals
Updated at
USD
Bid/Ask
Ounce
Change

Low/High
Gold
11.50
1,827.40
1,828.40
+1.80
0.10%
1,824.90
1,829.60
Silver
11.50
23.27
23.38
+0.11
0.47%
23.15
23.39
Platinum
11.50
1,031.00
1,041.00
0.00
0.00%
1,026.00
1,042.00
Palladium
11.20
2,174.00
2,324.00
-6.00
-0.28%
2,172.00
2,339.00
Rhodium
06.00
16,400.00
18,400.00
+650.00
4.13%
16,400.00
18,400.00

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