Gold crosses psychological level of $2,000 per ounce

March 20, 2023 (MLN): As the turmoil within the banking sector continues, gold prices have surpassed the psychological level of $2,000 per ounce. 

The price of safe-haven gold moved up 2.1% to $2,014.10 a troy ounce--the highest since March 2022.

Three-month copper, meanwhile, is down 0.5% to $8,567.50 a troy ounce. "Safe-haven demand, triggered by the risk-off market reaction to the banking crisis, helps explain the lift in gold futures," says Vivek Dhar, an analyst at Commonwealth Bank of Australia in a note.

Dollar strength will be key to gold prices, he said, "We consider the U.S. dollar a stronger safe-haven asset than gold. That means that if risk events are large enough we will typically see markets shift from gold to the U.S. dollar."

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