Blog: Trading

Gold Surges Above $1,960 for First Time Since April 2022

Mar 18, 2023

Gold PriceSurges to 11-Month Highs, XAU/USD up by over $40 on Weekly Gains

The demand for gold has soared as risk aversion grips the markets amidst the banking crisis and lower US Treasury bond yields. XAU/USD has surged by more than $150 or 8% since March 9, with Friday's Nonfarm Payroll report and the collapse of Silicon Valley Bank (SVB) further fueling the rally.

Central banks are expected to soften their tightening stance, leading to a drop in government bond yields. This has resulted in the acceleration of the rally towards the $2,000 mark, with $1,980 being a crucial resistance zone.