Gold advances as commodities and stocks slump
Adam Pike, News Editor
7 Jan 2016, 3:04 p.m.
For the first time in a long time gold is the go to asset class as markets tumble and geopolitical risk rises in the Middle East and North Korea.
The gold price has now risen for the four consecutive days and risen above the psychological $1,100 per ounce barrier. Golds safe haven status was boosted after China’s main share index fell by 7% triggering a halt in trading. The selloff extended into European markets and according to billionaire trader George Soros, investors need to be very cautious.
Escalating tensions between Iran and Saudi Arabia is unsettling the markets and the announcement that North Korea have successfully tested a hydrogen bomb has boost demand for the yellow metal.
The gold price has risen over 5% this week and currently trades at £755.53 per ounce. The silver price has followed golds lead and is up 3.42% in 2016 to £9.65 per ounce. Platinum is currently trading at £596.06 per ounce and palladium £338.19 per ounce.