Gold  pushes cautiously past $2000 mark
Citigroup calls Ukraine war ‘transformative’ for commodities markets

(USAGOLD – 3/8/2022) – Gold pushed cautiously past the $2000 mark in overnight trading as commodities sourced from Russia and Ukraine soared in price, the dollar turned south, and the bond market suffered another bout of selling. The yellow metal is up $13 in the early going at $2012.50. Silver is up 45¢ at $26.17. As an example of the volatility now roiling markets, the London Metals Exchange suspended trading in nickel when the price doubled yesterday to $100,000 a tonne. FOREX Live reports Goldman Sachs lifting its 3-month price forecast for gold to $2300 from $1950 previously and 6-month forecast to $2500 from $2050.

In a Bloomberg report yesterday, Citigroup called the Ukraine war “transformative” for commodities markets. “The Russian invasion is shaking up raw-material markets because the nation is such a heavyweight supplier in so many areas,” reads the report, “while Ukraine is a top grain exporter. With the U.S. talking to its allies about a possible oil embargo – and the Kremlin vowing to finish its mission in Ukraine – a long period of volatility looms, ramping up inflation and posing fresh challenges for central bankers.”

Cartoon courtesy of MichaelPRamirez.com