Logo of Phnom Penh Post newspaper Phnom Penh Post - Gold could keep rising to break historical high

Gold could keep rising to break historical high

Content image - Phnom Penh Post
PPLS business manager Long Samnang.

Gold could keep rising to break historical high

‘The price of gold will continue rising to $2,074 per ounce, and it could reach $2,135 next week,” said PP Link Securities (PPLS) business manager Long Samnang.

Despite better than expected US employment data released on May 5 pushing gold down from the day’s high of $2,053.04 to a low of $1,999.59, the price of the yellow metal recovered well.

The three main US economic indicators for April were all better than the previous month, according to Forex Factory, with Average Hourly Earnings up 0.5 per cent, the Non-Farm Employment Change recording an additional 253,000 jobs, and the Unemployment Rate up 3.4 per cent, a 0.1 per cent improvement.

Furthermore, the US Federal Reserve on May 3 raised interest rates from five per cent to 5.25 per cent, also a factor that traditionally supports the value of the US dollar.

However, gold prices on Monday started bouncing back, reaching $2,037.53 on Tuesday, followed by a retraced price of around $2,032 on Wednesday.

Financial investment expert Samnang says the growth in US jobs and interest rate hikes were behind driving the appreciation of the greenback in the investment world.

But this could be a temporary situation, he adds, especially with the current global economic situation.

“The recent collapse of banks in the US, Switzerland and Germany – and uncertainty regarding other future possibilities that could lead to economic crises – have been supporting gold along the way.

“US dollar users have gained greater confidence in deciding to sell for profit in the hope interest rates will rise.

“And the protracted war between Russia and Ukraine is still affecting the world, especially the global economy,” Samnang said.

According to the aforementioned fundamentals, the price of gold could increase until breaking its historical high of 2,074.88 in August, 2020, he concludes.

For this week’s recommendation, Samnang says the safest point to buy is at $2,025 per ounce, and should investors have a large amount of capital, they could start buying at the current price, setting the stop-loss function at $2,000 per ounce and the take-profit at $2,050.

Content image - Phnom Penh Post


  • Joy as Koh Ker Temple registered by UNESCO

    Cambodia's Koh Ker Temple archaeological site has been officially added to UNESCO’s World Heritage List, during the 45th session of the World Heritage Committee held in Riyadh, Saudi Arabia, on September 17. The ancient temple, also known as Lingapura or Chok Gargyar, is located in

  • Ream base allegations must end, urges official

    A senior government official urges an end to the allegations and suspicions surrounding the development of Cambodia’s Ream Naval Base, now that Prime Minister Hun Manet has addressed the issue on the floor of the 78th UN General Assembly (UNGA 78). Jean-Francois Tain, a geopolitical

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • CP denied registration documents by ministry

    The Ministry of Interior will not reissue registration documents to the Candlelight Party (CP). Following a September 21 meeting between ministry secretary of state Bun Honn and CP representatives, the ministry cited the fact that there is no relevant law which would authorise it to do

  • Cambodian diaspora laud Manet’s UN Assembly visit

    Members of the Cambodian diaspora are rallying in support of Prime Minister Hun Manet’s forthcoming visit to the 78th UN General Assembly (UNGA 78) in the US’ New York City this week. Their move is an apparent response to a recent call by self-exiled former

  • After three deferrals, Capital Gains Tax to take effect Jan 1, 2024

    The General Department of Taxation (GDT) will implement the Capital Gains Tax starting January 1, 2024 to after being deferred three times as industrial players warn that the implementation might have some negative impact on the property market growth, which is down due to the economic downturn.