Gold and crude oil prices in the world hit a peak together

 Gold and crude oil prices in the world hit a peak together

Tensions in Ukraine dragged gold prices to a nine-month high, while Brent crude prices hit their highest since 2014.

Closing the session on February 21, each ounce of world gold for immediate delivery increased by 4 USD to 1,903 USD. In the morning session, the gold price spiked to $1,915 right at the opening. This is the highest level since June 2021. Currently, each ounce trades around $1,907.

Meanwhile, Brent crude oil this morning rose 4% to $97.35 a barrel this morning - the highest since September 2014. Currently, each barrel is trading around $97.19. US crude WTI rose 3.4% to $94.2 a barrel.

The world gold price this morning skyrocketed.

The world gold price this morning skyrocketed.

Markets rose after Russian President Vladimir Putin recognized the independence of the separatist regions of Donetsk and Lugansk in eastern Ukraine, ordering the Russian military to send peacekeepers there. This increased tensions and increased Western fears of war.

The White House said yesterday that US President Joe Biden also signed an executive order banning US individuals from trading and investing in these two breakaway regions.

These developments push investors to seek shelter. The Japanese yen this morning also rose 0.2 percent to a three-month high against the dollar, currently 114.5 yen to one US dollar.

Yields on 10-year US government bonds fell sharply yesterday because of Ukraine tensions and the possibility of the US Federal Reserve (Fed) raising interest rates. The Fed official acknowledged that inflation is choking the economy and the job market. However, the increase in profit will depend on many other data. Rising interest rates will make gold less attractive because it doesn't pay fixed interest.