Gold may go much higher

30 August, 2017

Gold may go much higher

Gold is powering ahead following on from gains of more than $20 yesterday after a missile test from North Korea greatly increased the chances of a military conflict in the region.

North Korea's latest missile test which flew directly over Japan  sent the Japanese people running for cover and landed in the water less than 800 miles from the coast

"North Korea's missiles over the Japanese Hokkaido islands obviously fueled buying for the flight for safety kind of money including the Japanese yen and gold," said Yuichi Ikemizu, Tokyo branch manager at ICBC Standard Bank.

This event follows on from last Fridays dovish speeches at Jackson hole Wyoming from US Federal Reserve President Janet Yellen and ECB President Mario Draghi which was also a driver of the gold price,

Jeffrey Halley, senior market analyst at currency trading platform Oanda, said in a note that gold should push higher from here which may be at the expense of the US dollar

"The events of this morning have somewhat overshadowed gold's performance in the New York session where gold proceeded directly to go and put in a monster $20 rally from its opening," he said. "Trump's negative comments on the NAFTA renegotiation and no tightening signals from Jackson Hole see U.S. dollar selling renew with vigor in New York." He said.

US President Donald Trump has yet to weigh into the North Korean Saga but it is expected it is only a matter of time before he does and depending on the tone of his voice, investors are likely to keep heading for gold.


Source link  
Pound may surge on 2nd referendum

The British pound may soon hit $1.40 as expectations grow that a 2nd referendum will be held on whether Britain will remain in the European Union with the chances...

Gold may be a good bet in the new year

The gold price jumped to a 3-week high in early trading today, taking its gains to over $40 in less than 2 weeks and with the market expected to remain...

Tax reform not to benefit US dollar

The US dollar has remained under pressure in the last 3 trading sessions which is strange inlight of Donald Trumps tax plan which is certain...


Tough times ahead for pound

The British pound is trading higher today after as the EU and the UK move onto the 2nd round of talks surrounding Brexit which promises...

Gold awaits US employment data

The gold price is under further pressure today after being hammered over the last week and as we mentioned yesterday, any sustained break down...

Gold ready for breakout to the upside

The gold price has certainly behaved strangely this week, failing to react to news which would usually send the precious metal considerably higher...


Pound set to rally

The British pound continues to rise today against its US counterpart after rumors surfaced yesterday that the UK has reached a settlement to leave the European union...

Gold awaits news on tax reform

The gold price is making another run for the $1,300 mark in today’s trading session on the back of US dollar weakness and as the market...

Gold takes a breather, comeback predicted

The gold price has drifted slightly lower for the 2nd day in a row on the back of profit taking as the US as the US celebrates thanks giving...

  


Share: