The price of gold in trading Friday (20/3) edged up 0.4% to the US $ 1,475.43 per ounce at 07.29 WIB. Even so, the price of gold has dropped more than 3% in a week because investors sell gold to find cash in the middle of the coronavirus pandemic.
Reporting from Bloomberg today at 09.00 WIB, the price of gold in the spot market rose the US $ 10.99 or 0.75% to the US $ 1,482.23 per ounce. From Reuters, the price of gold on the United States futures exchange fell 0.3% to the US $ 1,474 per ounce.
Even though the world price of gold is on a downward trend, Antam's precious metal has even increased by Rp10,000 to Rp824,000 per gram. Antam's gold selling price in the Pulo Gadung Gold Boutique today at 07.58 increased by Rp 11 thousand to Rp 743 thousand per gram.
Investors continue to sell gold to cover losses on the capital market. Even though many central banks in the world have issued economic stimulus policies.
The Republic Senate in the United States (US) plans to launch an economic stimulus of up to the US $ 1 trillion to provide funds directly to the country's business and public. To overcome this, direct funding is provided to the country's business and public, to overcome the economic impact of the coronavirus.
US Increases Loans, Calms Market Crisis Concerns
On the other hand, the Bank of England pledged 200 billion pounds in bonds and cut its key interest rate to 0.1% as an emergency measure to reduce the economic blow caused by the Covid-19 pandemic.
The global economy has indeed entered a recession after economic activity in various countries came to a halt due to the widespread of the coronavirus. Gold has become an alternative for investors to look for cash after losing money in the capital market.
Earlier on Wednesday (18/3), world gold prices managed to rebound after the central bank of the United States (US) The Federal Reserve announced a policy of increasing lending. It succeeded in calming market concerns over the liquidity crisis due to the coronavirus.
Reporting from Bloomberg on Wednesday (3/18) at 07.51 West Indonesia Time, the price of gold in the spot market rose the US $ 7.49 to the US $ 1,535.79 per ounce. For Antam's gold price, today it has risen by Rp. 25 thousand to Rp. 826 thousand per gram.
While the resale price of Antam's gold on Wednesday (3/18) at 08.30 West Indonesia Time in the Pulo Gadung Gold Boutique rose Rp 26 thousand to Rp 745 thousand per gram.
Gold Jumps, Opportunities for People to Enter the Gold Market Are High
The price of gold in the last five sessions fell because investors sold precious metals to find cash and cover losses in other investments. This is in line with the spread of the coronavirus which continues to expand and also closes several sectors of the country's economy including the sale and purchase of gold.
Safe assets such as gold jumped more than 2% after the Fed said it would re-launch short-term loans such as the era of the financial crisis to disburse credit in a tense market due to the coronavirus pandemic.
"Gold has a lot of fundamentals behind it to push prices higher. This is a great opportunity for people to enter the gold market," said US Global Investor Head Trader Michael Matousek.
Previously, the price of gold has plummeted by nearly 10% last week from its highest level for seven years. One factor has been the collapse of world oil prices.
Goldman Sachs analysts reminded investors that gold prices could fluctuate. "Falling oil prices are stopping Russian central bank purchases and could trigger some sales. In the short term, gold prices will remain volatile to seek a new balance," said Goldman Sachs analyst.
