If prices approach the $3,000/oz level, it could attract investment demand, one analyst says
02 May 2025 - 07:59
byAnushree Mukherjee and Anmol Choubey
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Bengaluru — Gold gained on Friday as investors rushed to buy the metal, a day after its prices hit a two-week low amid receding trade tension, while the market’s focus shifted to the US nonfarm payrolls report due later in the day.
Spot gold rose 0.5% to $3,256.51/oz as of 3.56am GMT.
Gold hit its lowest level since mid-April in the previous session and has lost nearly 2% so far this week, the steepest weekly fall since late February.
US gold futures rose 1.3% to $3,265.10/oz.
“There have been softening stance [on tariffs] and situation has improved a bit, but still there are a lot of uncertainties so gold will still be preferred by investors,” said ANZ commodity strategist Soni Kumari, adding that every price correction in gold was seen as a buying opportunity.
“If prices continue to decline and approach the $3,000/oz level, it could attract a lot of investment demand.”
Beijing is “evaluating” an offer from Washington to hold talks over US President Donald Trump’s crippling tariffs, China’s commerce ministry said, signalling a potential de-escalation in the trade war that has roiled global markets.
Bullion, a safeguard against political and financial turmoil, last soared to a record high of $3,500.05/oz on April 22.
The market now awaits the US nonfarm payrolls report due at 12.30pm GMT for more cues on the Federal Reserve’s policy path. Nonfarm payrolls are likely to have increased by 130,000 jobs in April after rising by 228,000 in March, a Reuters survey showed.
Chinese markets are closed for the labour day holiday from May 1-5 and will resume trade on May 6.
The dollar fell 0.3% against its rivals, making gold more attractive for other currency holders.
Spot silver rose 0.9% to $32.68/oze, platinum firmed 1.1% to $968.89/oz and palladium gained 1% to $949.48/oz.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Gold lifts after slipping to two-week low
If prices approach the $3,000/oz level, it could attract investment demand, one analyst says
Bengaluru — Gold gained on Friday as investors rushed to buy the metal, a day after its prices hit a two-week low amid receding trade tension, while the market’s focus shifted to the US nonfarm payrolls report due later in the day.
Spot gold rose 0.5% to $3,256.51/oz as of 3.56am GMT.
Gold hit its lowest level since mid-April in the previous session and has lost nearly 2% so far this week, the steepest weekly fall since late February.
US gold futures rose 1.3% to $3,265.10/oz.
“There have been softening stance [on tariffs] and situation has improved a bit, but still there are a lot of uncertainties so gold will still be preferred by investors,” said ANZ commodity strategist Soni Kumari, adding that every price correction in gold was seen as a buying opportunity.
“If prices continue to decline and approach the $3,000/oz level, it could attract a lot of investment demand.”
Beijing is “evaluating” an offer from Washington to hold talks over US President Donald Trump’s crippling tariffs, China’s commerce ministry said, signalling a potential de-escalation in the trade war that has roiled global markets.
Bullion, a safeguard against political and financial turmoil, last soared to a record high of $3,500.05/oz on April 22.
The market now awaits the US nonfarm payrolls report due at 12.30pm GMT for more cues on the Federal Reserve’s policy path. Nonfarm payrolls are likely to have increased by 130,000 jobs in April after rising by 228,000 in March, a Reuters survey showed.
Chinese markets are closed for the labour day holiday from May 1-5 and will resume trade on May 6.
The dollar fell 0.3% against its rivals, making gold more attractive for other currency holders.
Spot silver rose 0.9% to $32.68/oze, platinum firmed 1.1% to $968.89/oz and palladium gained 1% to $949.48/oz.
Reuters
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.