Gold, silver prices fall in global markets

Gold prices fell in global markets on Wednesday (January 7) as investors reassessed the strong dollar and recent developments in US-Venezuela relations. Spot gold fell 0.8 percent to $4,461.51 an ounce. After hitting its highest level in more than a week at the start of the session, prices later eased. Gold had previously hit a record high of $4,549.71 on December 26. US gold futures for February delivery were trading down 0.5 percent at $4,471.30 an ounce.

According to market analysts, investors are taking profits after volatile trading at the start of the new year and are reassessing the situation in Venezuela in particular. Jamie Dutta, chief market analyst at Nemo-Money, said short-term profit-taking is normal as the situation remains volatile.

US President Donald Trump announced on Tuesday (January 6) that he planned to refine and sell up to 50 million barrels of oil held in Venezuela by a US blockade, a sign of coordination between Washington and the Venezuelan government, which has affected the market.

Meanwhile, the dollar has risen to a more than two-week high, making it more expensive to buy dollar-denominated metals, including gold. Federal Reserve Governor Stephen Mirren has spoken of the need to cut interest rates this year, but Richmond Fed President Thomas Barkin has emphasized the need for a "delicate" decision based on data. The market is predicting two more rate cuts this year.Among other precious metals, silver fell 2.3 percent to $79.40 an ounce. Platinum fell 6 percent to $2,297.56 and palladium fell 4.5 percent to $1,740.12 an ounce.

The price of 22-carat gold per bhori (11.664 grams) in the domestic market is 227,856 taka. In addition, the price of 21-carat gold per bhori has been fixed at 217,534 taka, 186,449 taka per bhori and 155,423 taka per bhori of traditional gold.

News Reuters