European bank concerns drives gold to 3 ½ month high
Duncan Richardson, News Editor
11 Jul 2014, 10:45 a.m.
The gold price climbed to a 3-1/2 month high yesterday as fears of another Eurozone banking crises returned. Espirito Santo Financial Group, the largest shareholder in Portugal’s largest bank Banco Espirito Santo requested trading of its stocks should be immediately suspended, citing “material difficulties” at its parent company.
The gold price rose during the last sovereign debt crises so it was no surprise the gold price reacted positively in the news. Gold has been climbing slowly since the start of the year as violence in Palestine, Syria, Iraq and Ukraine spurred demand for the ultimate safe haven asset.
The palladium price increased for the 14th consecutive trading session to settle at a 13 year high of $869.20 per ounce. Platinum rose 0.8% to $1,508 per ounce on supply concerns.