The price of gold is rising and has been at most for 6 weeks

The price of gold today exceeded $ 1830, reaching the highest level in 6 weeks. After which it fell to just above $ 1820. Gold has been steadily rising since mid-December, when the ounce was $ 1750-1760. The main reason for the increases may be inflation and the impact of the pandemic on the economy. Geopolitical uncertainty on the Russian-Ukrainian border may also have supported gold prices. The United States, according to media reports, has pledged to give a firm response in the event of Russia's invasion of Ukraine.

The potential for the recent rise in prices, in turn, may have been partially offset by the jumps in the value of the US dollar and profitability US treasury bonds. The dollar index rises 0,2% today, recovering from last week's losses, while 10-year bonds ended 2021 with the largest yield increase since 2012, at 1,51%.

Higher bond yields appear to raise the opportunity cost of owning interest-free gold, making it less attractive. A more expensive dollar, in turn, can make gold more expensive for buyers with currencies other than the USD.

Key OPEC + meeting tomorrow

WTI Crude Oil appear to rise towards $ 76 a barrel on Monday with markets waiting for Tuesday OPEC + meeting, during which the production increase by 400 planned for February is to be sustained. barrels per day, follows the market consensus.

The information that production in Libya will drop by 200 thousand tonnes may also have contributed to the rise in oil prices. barrels a day in the next week as workers try to repair the damaged pipeline less than two weeks after the police shut down the largest oil field. It is estimated that with the loss of supplies due to the closure of the Shahara field, total production in Libya will drop by around 700. barrels a day.