Gold Prices Hit Record High in Japan

Economy

Tokyo, Jan. 25 (Jiji Press)--Prices of gold, regarded as a safe-haven asset, hit a record high in Japan on Wednesday amid growing concerns over inflation and recession around the world.

At major precious metals seller Tanaka Kikinzoku Kogyo K.K., tax-inclusive retail prices of gold rose 20 yen from Tuesday to 8,977 yen per gram, exceeding the previous record high of 8,969 yen marked in April 2022.

Gold prices have been on a rising trend due to the novel coronavirus pandemic and Russia's invasion of Ukraine.

The U.S. Federal Reserve has been raising interest rates since March last year to tackle soaring prices. But speculation has emerged that the central bank would halt the rate hike campaign amid growing recession fears, spurring purchases of gold.

"Expectations for a recovery in demand following the end of China's zero-COVID-19 policy are another factor for the gold price uptrend," a market source said.

[Copyright The Jiji Press, Ltd.]

Jiji Press