Spot gold prices held steady at the beginning of weekly trading on Monday, despite the official announcement of an initial agreement to end the debt ceiling crisis in the United States.
And at dawn Sunday, US President Joe Biden and House Speaker Kevin McCarthy reached a preliminary agreement to end the US debt ceiling crisis that has been going on for more than two months.
“The negotiating teams will put the final touches on the legislative text, and the agreement will go to the country’s House of Representatives and Senate,” the White House said in a statement on Sunday.
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In early trading today, spot gold prices rose by 0.15 percent, or two dollars, to $1,947 an ounce, compared to the closing of Friday’s session.
Despite reaching an agreement to end the debt ceiling crisis that would lead to a decline in risks, which is a suitable environment for the rise of gold prices, the yellow metal still benefits from high global demand, especially from China.
Likewise, gold prices benefit from analysts’ estimates indicating a rise in its prices during the current year above $2,100 an ounce, with the possibility of the end of the monetary tightening cycle by the US Federal Reserve.
