Jakarta, CNBC Indonesia – The price of Precious Metal gold produced by PT Aneka Tambang (Persero) Tbk (ANTM) shot up in today’s trading. The conflict in Ukraine is driving Antam’s gold price.
On Saturday (5/3/2022), the price of Precious Metals was at Rp. 1.005.000/gram. An increase of IDR 15,000 from the previous day.
Meanwhile, the buyback price is at Rp. 912,000/gram. An increase of IDR 17,000 from the previous day.
The increase in Antam’s gold price cannot be separated from the movement of world gold prices. Throughout this week, gold prices posted an increase of 4.37% on an annual basis point-to-point. In the last month, the price skyrocketed 8.8%.
The development of the Russia vs Ukraine war is still a price driving factor. War and uncertainty make investors do not want to look at risky assets and choose safe-haven assets like gold.
“There is a view that Russia is not going to reduce its attacks on Ukraine. This makes it more likely that sanctions will continue to be imposed,” said Edward Moya, senior market analyst at OANDA, as quoted by Reuters.
“The crisis in Ukraine will support the increase in gold prices. Not only the shift of funds to safe-haven assets, but also because of the increased risk of inflation along with rising commodity prices,” added Ole Hansen, analyst at Saxo Bank, in his research.
When inflation is high, gold is the safest asset. Gold is safe from the risk of inflation because the supply is limited so prices will still tend to rise.
CNBC INDONESIA RESEARCH TEAM
(aji / aji)
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