Gold went for another record-breaking run yesterday, surging to US$2,443.25 ($3,647.19) per ounce, according to ABC Bullion.
One of the main drivers of the increased gold price is continued speculation surrounding interest rate cuts in the US.
However, gold fell back down to US$2,420 per ounce today, as US officials are not yet prepared to say inflation is moving towards the central bank’s target, with several advocating for continued policy caution.
Trading Economics notes that more US officials are scheduled to be speaking throughout the week.
Meanwhile, following the death of Iranian President Ebrahim Raisi, who was killed in a helicopter crash over the weekend, political uncertainty has been raised in the Middle East, resulting in investors turning to the safe-haven asset.
Since the start of 2024, gold has witnessed an 18% gain. Silver, meanwhile, has soared 32% to an 11-year high.
Driven by the rise in the gold price, $1.7 billion producer Red 5 (ASX:RED) witnessed a 3.15% share price increase to $0.49 this afternoon.
Red 5 has been continuing grade control drilling at its King of the Hills gold mine in Western Australia. The latest drilling results confirm ore reserves in areas that underpin the FY25 mine plan and that mineralisation continues below current mining fronts.
Write to Aaliyah Rogan at Mining.com.au
Images: iStock
