After the speeches delivered by Federal Reserve Chairman Jerome Powell, announcing that the interest rate will rise by 50 points instead of 70 points, gold prices rose by more than 2% to reach levels of $1783 an ounce, and spot gold contracts rose by 1.09% at 1768 hours. Dollars an ounce.
The bank expects that gold will continue on its way to about $2,000 by the end of this year, and despite that, both gold and silver may face difficulty in the first half of the new year 2023.
For silver, prices are expected to rise to $25 an ounce by the third quarter and remain high through 2024.
As for when the Fed is expected to raise interest rates, Bank of America sees the final interest rate as between 5.00% and 5.25% by March.
Gold futures fell by 0.21%, to trade in February at $1,811.35 an ounce at the time of writing.
Oil futures contracts also decreased by 0.11%, to trade at $81.31 per barrel.