Gold prices hit record highs on rate cut expectations

LONDON:- Gold prices hit a record high on Tuesday as traders expected a US interest rate cut as inflation cooled in September.

In late afternoon London trading, gold rose 1.7 percent to $2,463.80 an ounce, smashing its previous peak of $2,450.07 in May.

ActiveTrades’ Ricardo Evangelista saw gold benefiting from “a weaker dollar and lower Treasury yields,” a rival asset, after the release of data last week confirming that inflation in the United States is returning to near-expected levels. For by Fed.

“There is no doubt that the recent surge in gold prices can be at least partially attributed to a falling dollar and bond yields, weaker-than-expected US data and an unexpected 3 percent drop in US consumer inflation last week,” said Fawad Razakzada, analyst at CitiIndex. was

He added that “gold continues to attract interest for its ability to retain value.”