Current Gold Prices and Exchange Rates: May 20, 2024 Updates

Gold prices traded at record levels today as expectations for interest rate cuts increased. Additionally, political uncertainties in the Middle East have driven up the demand for safe haven assets.

An ounce of gold reached a record high of $2,450 during the day, before settling back to $2,419 following some selling at the peak.

Silver also surged, with an ounce approaching $32, its highest level since December 2012.

Gram and quarter gold prices were influenced by movements in both ounce gold and the dollar/TL exchange rate.

On the first trading day of the week, gram gold traded at ₺2,500, while quarter gold found buyers at around ₺4,096.

Markets were also affected by positive developments from the USA and China, and closely monitored the tragic helicopter crash in Iran, which resulted in the deaths of Iranian President Ibrahim Reisi and Foreign Minister Hussein Emir Abdullahiyan.

Looking ahead, markets anticipate the first rate cut to occur as early as September.

Expectations at Two-Year High Amid Anticipated Rate Cuts

Expectations reached a two-year high as major central banks are expected to start reducing interest rates following China’s most comprehensive steps to address the real estate sector crisis.

The Central Bank of China has provided additional financing of $138 billion to support construction companies and the struggling real estate sector, which has been in crisis since 2021. Additionally, conditions for obtaining housing loans have been relaxed, and it was announced that local governments will purchase houses to further stabilize the market.

Source: NTV / Prepared by Irem Yildiz

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