Gold Prices Soar
Daryl Jackson, News Editor
24 Feb 2017, 4 p.m.
There's been an increase in gold prices to levels not seen since Donald Trump's election victory in November last year.
Ole Hansen, head of commodity strategy at Saxo Bank in Copenhagen, said: "(Gold price) support has come from the unwinding of the post-election Trump trade, which has seen bond yields and the U.S. dollar both move lower,"
The price of gold crept over the $1250/£1005 per ounce mark for the first time in over three months on Friday.
CNBC reports that investors appear to think that the U.S. administration's ability to implement fiscal policy to stimulate the U.S. economy is somewhat limited. Therefore, this could be part of the reason that explains the uptick in gold prices.
Nitesh Shah, commodities strategist, with ETF Securities, told CNBC
"Elections in the Netherlands, Germany and potentially even snap elections in Italy and Greece all combine for investors to begin turning their attention to safe haven assets such as gold in order to protect their portfolios from shock events".