Gold recorded gains for the third consecutive session in mid-European trading today, Wednesday, May 21, reclaiming the $3,300 level it lost more than a week ago. This was supported by the decline in the US dollar and increased demand for safe-haven currencies and assets, coinciding with the absence of economic indicators influencing gold movements since the beginning of the week. Gold is trading up about 0.58% at $3,310 per ounce, while silver is trading at $33.14 per ounce, up 0.22%.
Uncertainty in the markets continues to rise with the continued impact of Moody’s downgrade of the world’s largest economy, leading to long-term investors reassessing US sovereign debt risks. This is in addition to doubts about Trump’s tax-cutting bill, which faces several obstacles in Congress, even among Republicans, heightening political uncertainty. The US Dollar Index also declined for the third consecutive session, supporting the yellow metal’s gains, trading at 99.43, down more than 0.40% today and more than 1% since the beginning of the week.
Platinum, meanwhile, traded at $1.043, down about 0.96%, while palladium declined about 1.05% to trade at $1.002.