On Friday, the price will be lower for the first time gold exceeded 2600 dollars per ounce. At the moment it is exactly 2646.20 dollars, which is approximately 10,122 PLN. Thus, the price of gold breaks the all-time record.
The price of gold is breaking new records. Over PLN 10,000 per ounce
“Most factors influencing the price of gold still seem to favor buyers. Due to ongoing geopolitical and economic uncertainty, the outlook for the metal's prices remains positive. The weakening dollar may additionally support the increase in gold prices,” writes Grzegorz Dróżdż, an analyst at Conotoxia Ltd.
Wednesday's cut in US interest rates, larger than many analysts had expected, made gold more attractive to investors. Let's recall that rates were cut by 50 basis points. The market was almost certain of a rate cut, but there were doubts whether the FOMC – the equivalent of the Polish Monetary Policy Council – would decide to cut rates by 25 or 50 basis points. After Wednesday's decision, interest rates in the US are in the range of 4.75-5.00 percent. This is the first change in rates since July 2023 and the first cut since April 2020. What will happen to gold prices next? “In the base scenario, analysts from Invest.Cinkciarz.pl assume a slowdown in the growth rate of the king of metals by the end of the year, with the level of 2500 USD as potentially key support,” we read in the analysis.
NBP can rub its hands. The profit from gold is even bigger
The National Bank of Poland can enjoy record gold prices, as it has been systematically increasing its gold reserves for several years. “Over the past eight years, the National Bank of Poland has gained almost PLN 30 billion on gold investments. The amount of the accumulated gold puts Poland in a leading position in the global race for gold reserves,” Tavex reports in its report. This year alone The National Bank of Poland purchased nearly 40 tons of gold bullion, bringing the total to 397.9 tons. In this respect, we are ahead of, among others, Great Britain, Saudi Arabia and Spain. In the world ranking, we are in thirteenth place. Adam Glapinski believes that gold is “commercial and financial security”. At the beginning of September, he explained that Poland keeps about one third of its gold reserves in New York at the Federal Bank, one third at the Bank of London and one third in a safe place in Poland. – This is geopolitical security. But please understand the purely economic meaning of this. We are treated with the highest degree of seriousness. Someone who buys Polish bonds knows that they are one hundred percent safe and solvent. That is why Polish bonds are easy to sell – the president summed up at the time National Bank of Poland.