GOLD - JAKARTA. The price of gold briefly hit a record high before weakening again. This not only happened to the spot gold price but also to the price of Antam gold. However, the correction in gold prices is projected to be temporary.
The Director of PT Laba Forexindo Berjangka, Ibrahim Assuaibi, said that the price of gold is still rising this year. He mentioned that the sentiment that caused the gold price to rise was due to the ongoing geopolitical issues in the Middle East.
"Where the war between Israel and Hamas has not stopped until now, even though when entering the month of Ramadan, America has asked Israel to stop the war for a month," said Ibrahim, on Wednesday (13/3).
Ibrahim added that another sentiment that caused the gold price to rise was the plan to lower The Fed's interest rate in June 2024. Where, the total interest rate to be lowered is quite significant, which is 1.10%.
"So this is what makes the dollar index weaken again, even yesterday the US dollar index reached 100, this is quite extraordinary," said Ibrahim.
Read Also: Gold Under Pressure from Fed Rate Cut Doubts After Inflation Data
In addition, Ibrahim said that the gold price issued by PT Aneka Tambang Tbk (Antam) will continue to rise. He predicts that the price of Antam gold will reach the level of Rp 1,250,000 in the second quarter of 2024.
"Indeed, in 2024, the price of gold bars is likely to continue to rise, and the increase is quite prominent in the second semester of 2024," he added.
As for the world gold price in the second quarter of 2024, Ibrahim predicts it will most likely be at the level of US$ 2,206 per troy ounce. Meanwhile, by the end of this year, gold is expected to reach up to US$ 2,500 per troy ounce.
Read Also: Gold Stays Below Key $2,000 Level as Markets Temper Fed Rate-Cut Bets
In line with this, the Founder of Traderindo.com Wahyu Tribowo Laksono believes that the price of Antam gold is generally still bullish. The short-term sentiment is the Indonesian elections and the seasonal months of Ramadan and Eid al-Fitr, which increase demand.
"Antam gold is better than global gold because if the dollar weakens then Antam gold can rise along with the rise in global gold. But if the dollar strengthens, and global gold weakens, Antam gold can still rise because the rupiah weakens and Antam gold becomes a hedge against the US dollar," said Wahyu, Wednesday (13/3).
According to him, Antam gold always rises every year, even usually rising to a new record per year. This is because institutional investors, retail investors, and the general public still consider gold to be an important asset for the long term and as a haven.
Read Also: Antam Gold Price Today Plummets Rp 10,000 to Rp 1,200,000 Per Gram, Wednesday (13/3)
Wahyu predicts, the gold price in the spot market will still consolidate in the medium term, which is at US$ 1,800 - US$ 2,000 per troy ounce. Meanwhile, in the short term, the gold price will move in the range of US$ 1,900 - US$ 2,100 per troy ounce.
"Then, for the long term, the outlook for gold remains bullish waiting for ATH. In the long term, the gold price will range from US$ 2,100 - US$ 2,300 per troy ounce," said Wahyu.
As for Antam gold, the potential for its bullishness tends to be stronger this year, because historically Antam gold always jumps every year. Wahyu estimates, Antam gold for the target until the end of 2024, will be at Rp 1,200,000 to Rp 1,300,000 per gram.
