Failing War Talks in Ukraine and Rising U.S. Inflation Lift Gold Price Back Above $2,000

Gold futures closed higher on Thursday (March 10), with gold prices climbing back above $2,000 amid concerns about the ongoing war in Ukraine and inflation in the United States.

  • The gold contract was up $12.2, or 0.61%, at $2,000.4 per ounce.
  • Silver contracts were up 44 cents, or 1.7%, at $26.25 per ounce.
  • The platinum contract was down $12.4, or 1.12%, at $1,095.2 an ounce.
  • The palladium contract was down $29.30, or 1%, at $2920.50 an ounce.

Gold remains in demand among investors after talks between Russian Foreign Minister Sergei Lavrov and Ukrainian Foreign Minister Dmitro Kuleba failed to make progress. Both sides have failed to reach a ceasefire agreement and create a safe way for Ukrainians to leave the country.

Meanwhile, the rise in inflation is another factor supporting safe assets. The U.S. Department of Labor released the Consumer Price Index (CPI), which rose 7.9% year-over-year in February. This is the highest level since January 1982.

The core consumer price index (excluding food and energy) rose by 6.4% year-on-year in February. This is the highest level since August 1982.

The main focus remains on the Federal Reserve’s (Fed) monetary policy meeting on March 15-16, when the Fed is expected to raise interest rates by 0.25%.

The Spot Market is Open

Friday, March 11, 2022

Metals
Updated at
USD
Bid/Ask
Ounce
Change

Low/High
Gold
09.30
1,996.00
1,997.00
-1.20
-0.06%
1,989.20
2,000.90
Silver
09.30
25.75
25.85
-0.12
-0.44%
25.69
26.00
Platinum
09.30
1,058.00
1,073.00
-7.00
-0.66%
1,057.00
1,082.00
Palladium
09.25
2,864.00
3,014.00
-24.00
-0.83%
2,844.00
3,020.00
Rhodium
06.00
17,400.00
19,400.00
0.00
0.00%
17,400.00
19,400.00

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