Institution: Gold prices return above $5,000, investors buy on dips

BlockBeats News, February 9 — Institutions say that as dip buyers return to the market after a week of unusually intense volatility, spot gold has once again surpassed the $5,000 per ounce mark. Supported by Japanese Prime Minister Fumio Kishida’s overwhelming victory in the elections, spot gold rose as much as 1.6% during early trading. This outcome reinforces market expectations of loose fiscal policies and keeps the yen under pressure, which is positive for gold prices.

As of last Friday’s close, gold prices have fallen about 11% from the all-time high set on January 29, but are still up 15% for the year. Traders are also closely watching upcoming U.S. economic data to better assess the Federal Reserve’s policy direction. The January non-farm payroll report, scheduled for release on Wednesday, is expected to show signs of a stabilizing labor market, while inflation data is planned for release on Friday. (Jin10)