Gold continues to rise, reaching a new record level driven by a weaker dollar

Gold has reached a new record high, supported by a decline in the value of the dollar, growing concerns about a global economic slowdown, and escalating trade tensions between the United States and China, which have increased demand for gold as a safe-haven investment.

The price of gold rose by 1.9%, reaching $3,304.20 per ounce, after hitting a new peak of $3,290.10 earlier in the session.

Silver increased by 0.3% to $32.40 per ounce, while platinum fell by 0.2% to $967.70, and palladium dropped by 0.7% to $971.50.

According to Tim Waterer, the Chief Market Analyst at KCM Trade, the rise in gold prices is attributed to the weakening dollar and the ongoing risk-averse sentiment in the markets, which supports gold prices.

The dollar index decreased by 0.5% against a basket of major currencies, making gold more attractive to holders of other currencies.

Gold has gained more than 25% since the beginning of the year, reaching several historical highs, as demand increases for it as a hedge during times of economic and geopolitical crises.

ANZ Bank forecasts that gold prices will continue to rise, predicting that the price per ounce could reach $3,500 within six months and $3,600 by the end of the year.

Investors are also awaiting U.S. retail sales data later today, as it may influence the Federal Reserve’s monetary policy direction.