The increase in new COVID-19 infections combined with the weaker-than-expected US manufacturing report is the main support force for gold prices to increase in today's session.
World gold prices continued to stay high at 1,815.20 USD/ounce, up more than 10 USD/ounce per session. The most active gold futures contract was fixed at 1,814.90 USD, up to 14.80 USD.
Notably, the USD continues to strengthen, US bond interest rates from 1.63%/year skyrocket to 1.67%/year. It was thought that the cash flow was pouring into greenback and bonds, but the precious metal still shone brightly with the location of a safe haven.
According to John's Hopkins University of Medicine, the spike in COVID-19 infections in the US broke the record with 1 million cases on Monday. The US CDC points out that 95% of these new cases originate from the new variation Omicron.
The number of COVID-19 patients hospitalized increased by nearly 50% last week and has now exceeded 100,000 people. This is the first time the figure has reached that level since the outbreak in the winter of 2020.
According to the World Health Organization, the good news is that Omicron variants are causing fewer serious symptoms. However, public health officials have warned that the large number of cases is at risk of overwhelming in many hospitals. This COVID-19 wave is mainly from people who have not been vaccinated.
In addition, the published ISM production index was 58.7%, lower than the forecast of 60.0%. The ISM report shows that growth among US manufacturers is slowing faster than expected. The worrying thing is that inflationary pressures will continue to heat up and hold back the economy from recovering.
TD Securities said concerns about Omicron have fueled demand for safe-haven gold. The report shows that the 70% probability of the Fed raising interest rates in March is still a factor limiting this increase. Gold does not pay fixed interest, so it is often less attractive when interest rates increase.
On November 7, the US Department of Labor will release the December 2021 employment report. This will be the most important report released this week.
Economists who have been surveyed from various sources are predicting that the unemployment rate will fall to 4.1% and the US will have 410,000 more jobs.
Domestic gold price today:
SJC gold price is priced at 61.00 million - 61.72 million VND/tael (buy - sell)
DOJI gold price is priced at 60.95 million - 61.55 million VND/tael 9 (buy - sell)
The world gold price today is at 1,814.30 - 1,815.30 USD/ounce.
