Gold prices fell today, Monday, after the rise in stocks undermined the attractiveness of the yellow metal as a safe haven, while investors were assessing the steps taken by the authorities to allay fears of a crisis in the global banking system.
Spot gold fell 1.4 percent to $1,949.99 an ounce by 1219 GMT. US gold futures fell 1.5 percent to $1,954.20.
Reaching a buyer for Silicon Valley bank deposits and loans helped stocks of European banks recover partially, which in turn led gold to fall below the $2,000 barrier it breached last week.
“After gold touched the psychological barrier at $2,000 last week, competitors took advantage of this resistance to pounce,” said Luckman Otonuga, senior research analyst at FXTM. Federal Reserve on monetary policy.
Carlo Alberto de Casa, an analyst at Kinesis Money, said that the slight decline (in gold prices) today, Monday, may be due to the noticeable rise in stocks, but the general trend of gold is still positive.
With regard to other precious metals, spot silver fell 1.2 percent to $22.96 an ounce. Platinum fell 1.1% to $965.94, while palladium increased 0.3% to $1,420.44.