Gold futures rallied past $2,000 an ounce on Tuesday to finish at their highest since mid-April. Concerns surrounding the banking sector have provided support for haven gold, ahead of the Federal Reserve’s decision on interest rates Wednesday. Gold could potentially reach $2,300 on “indications of a Fed pause in the hiking cycle,” said Robert Minter, director of ETF Investment Strategy at abrdn. Silver prices also rallied Tuesday. Silver may benefit from a gold-like demand increase as the Fed pauses, the U.S. dollar weakens and gold prices rise, and if Chinese and European economies continue to outperform expectations and offset any U.S. weakness, said Minter. Gold for June delivery GCM23 settled at $2,023.30 an ounce on Comex, up $31.10, or 1.6% for the session. The settlement was the highest for a most-active contract since April 13, FactSet data show. July silver SIN23 climbed 39 cents, or 1.5%, to settle at $25.62 an ounce.
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