Commodities
Gold and Silver Prices Surge Amid Falling Yields and Weakening Dollar
The price of gold and silver rose sharply on August 19, driven by falling yields in the U.S. market.
An index tracking the gold price rose 4.13% to $4,512 per ounce, while the silver index gained 6.39% to reach $66.97 per ounce.
The decline in real yields reduces the opportunity cost of holding gold and silver, which do not generate interest income.
The rally was also fueled by the weakening of the U.S. dollar, making metals more affordable for buyers using other currencies.