Gold falls over 2% in volatile market but retains safe-haven appeal

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Gold,Silver,Platinum

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Aug 5 - Gold prices fell more than 2% in volatile trading on Monday as investors liquidated positions in tandem with a broader equities selloff, though analysts said bullion's safe-haven appeal remains strong as U.S. recession fears mount.

Data on Friday showed that the U.S. unemployment rate jumped to 4.3% in July, raising the likelihood of a Federal Reserve cut to interest rates in September, with markets now expecting the central bank to cut by as much as 50 basis points. Bullion, often used as a hedge against geopolitical and economic risks, thrives when interest rates are low.Spot silver was down 5.7% at $26.92 while platinum fell 4.1% to $918.35 and palladium lost 4.5% to $849.05 after hitting its lowest since August 2018.

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The gold market remains hot even if China isn’t buying goldThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
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