The gold rose near its historical maximum as the dollar fell after the latest economic data in the United States showed a softer growth than expected at the end of last year.
The gross domestic product adjusted by inflation increased 2.3% annualized in the fourth quarter after 3.1% in the previous three months, according to the initial estimate of the government published on Thursday. The medium forecast in a Bloomberg survey to economists provided for a 2.6%growth.
The dollar depreciated after the report, which caused gold to rise 1.1% to US $ 2,789.04 an ounce, less than US $ 2 below its historical maximum reached in October. A weaker dollar makes gold more attractive to investors who have other currencies, since its price is expressed in the US currency.
The last precious metal attempt to reach a new maximum “occurred without a doubt after GDP was weaker than expected, which further weakened the dollar,” said Ole Hansen, head of Saxo Bank raw materials strategy ACE. “If you can maintain weaker growth and lower prices, the door to additional cuts will be completely open.” The lowest types generally benefit gold, since it does not pay interest.
The monetary authorities stable the rates at the end of their first meeting of the year on Wednesday, and the president of the Federal Reserve, Jerome Powell, said that officials will not rush to lower the fees, since they are waiting to see more progress in inflation .
The gold in cash rose 1% to US $ 2,788.48 an ounce at 10:04 am in New York. Silver, platinum and paladium also gained ground.
