After 3 difficult years for the gold price it looks like the yellow metal has finally turned the corner. The gold price briefly broke through the psychological $1,300 per ounce barrier on speculation the Federal Reserve will delay any future rate rises.
Since the turn of the year investors have piled back into exchange traded funds. Across the ETF sector holdings rose by 21.6 metric tonnes to 1,780 tonnes, a 22% increase. As the rally continues mainstream pundits are now forecasting the price to reach $1,400 per ounce.
The recent rally has been ignited by the Federal Reserve’s omission that U.S interest rates are likely to rise more slowly than previously expected. This has weakened the dollar and boosted gold’s appeal.
The silver price rose above $18 per ounce, while platinum edged up 0.4% to a 10 month high.