28.07.202017:17 Forex Analysis & Reviews: Victorious march continues: gold and silver skyrockets in value

Gold futures continue its triumphant march on Tuesday. This growth has not yet been interrupted.

On the electronic trading floor in New York, the value of futures for August delivery rose by 0.41%, which allowed the precious metal to rise to the level of $ 1,938.9 per troy ounce. Support for the metal settled at $ 1,863.1 per troy ounce, while resistance moved to the level of $ 1,974.4 per troy ounce.

Gold continues to rapidly move up, not noticing absolutely any obstacles, and breaks new records. So, the maximum value levels appear literally every day. The reason for this super-positive mood is the notable weakening of the greenback, as well as the very vague prospects for the early recovery of the global economy after the crisis caused by the coronavirus pandemic.

Friday trading last week proved to be victorious for the metal: it reached its highest level in the last nine years. Monday's trading ended at a record high price for precious metals, which has been happening for the second session in a row. On Tuesday, gold has already managed to break the intraday record, which was last recorded almost nine years ago. During the day, the price of the precious metal reached $ 1,940.1 per ounce.

There are several global factors that are driving gold to make such significant advances. First, this is a rather disappointing forecast for the growth of the global economy in general and the economy of the United States of America in particular. Second (and this is now coming to the fore) is the growing conflict between Washington and Beijing. And finally, the weakening of the US dollar continues to occur against the background of the adoption of a new portion of stimulating measures in the US. All this, taken together, makes the participants think hard about preserving their capital and move to a more calm and measured sector of precious metals, which is traditionally considered a "safe haven" in the turbulent investment market.

However, there are other important points that make investors literally flee the stock markets. Their escape from there means that gold will maintain its growth for a long time since the situation will not stabilize soon.

Thus, the price of the precious metal was able to rise over the last month by 9%, and since the beginning of this year by as much as 27%, which is a good result after the crisis fall.

Meanwhile, silver demonstrated stunning growth dynamics on Tuesday. Silver futures with delivery in September at the closing of Monday's trading session began to cost more at once by 7.2%, which allowed it to move to a very important level above $ 24 per ounce. Its price was $ 24.501 per troy ounce. This is the maximum value over the past seven years. And on Tuesday it again went up by 1.55% and reached the level of $ 24,880 per troy ounce.

On the contrary, copper futures for September delivery slowed down a bit. Its value dropped by 0.35% and was within the range of $ 2.9003 per pound.