Gold continues to rise in February 2019.

Gold prices continued their upward trend in February 2019, reaching new highs not seen in several years. The precious metal, considered a safe haven asset, saw its value increase as investors sought refuge from the uncertainty in the global stock markets.

The U.S. stock market experienced a significant downturn during the month, with the Dow Jones Industrial Average experiencing its worst month in over a decade. This led to a sharp increase in demand for gold, as investors sought to protect their wealth from the volatility in equities.

Precious metals finished with mixed results in February with gold and silver ending lower and platinum and palladium ending higher. Gold suffered its first monthly loss since September. On Thursday, April gold delivery declined by 0.4% to settle at $1,316.10 an ounce on the Comex division of the New York Mercantile Exchange. This was gold’s lowest close since February 14th.

“Traders and investors worldwide remain in a generally positive mood despite some geopolitical challenges this week, which is a negative for the safe-haven metals.” He also noted that “profit taking by short-term futures traders” contributed to the decline in both metals.

Jim Wyckoff, a senior analyst at Kitco Metals Inc

For the month of February, gold futures dropped by 0.7% following four consecutive months of gains totaling 10.8%. Despite this, gold is still 2.7% higher year-to-date. On February 20th, gold reached its highest settlement since April 19th, closing at $1,347.90 an ounce.

Silver for May delivery also saw a decline, dropping by 0.8% to close at $15.634 an ounce. Silver futures fell 2.7% in February after two consecutive months of increases totaling 13.1%. The metal is still 0.6% higher year-to-date and reached its strongest settlement since June 29th on February 20th at $16.177 an ounce.

Gold prices were also impacted by a weaker U.S. dollar, which typically leads to higher demand for the precious metal. The Federal Reserve kept interest rates steady, but signaled a cautious approach to future rate hikes, which also added to the upward pressure on gold prices.

Analysts predict that gold prices will continue to rise in the coming months, as long as the global economic and political uncertainty persists. The continued uncertainty in the U.K. over Brexit, the ongoing trade tensions between the U.S. and China, and the economic slowdown in some of the world’s largest economies all contribute to the ongoing demand for gold.

The average price for gold in February 2019 was 1.319,68 USD an ounce. The lowest was 1.306,18 USD an ounce while the highest was 1.341,55 USD an ounce. Average gold price in 2019 was $1,393.34.

By Alexandre Laurent

Alexandre Laurentl is working in the jewelry and investment gold since 2002. Alexandre graduated from The Normandy School of Business and from the University of Perpignan a Bachelor of economics in 1995.

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