The price of gold increased over $ 3,400 on Monday, reaching a record value, while the dollar weakened, and the uncertainty regarding the economic consequences of trade tensions between the United States and China increased the demand for gold as safe haven.
The price of gold on the promotic market increased by 2.7 percent to 3,417.62 dollars per ounce yesterday. Prices have previously reached a record $ 3,430.18 during the day.
The term prices of gold in the US are concluded with a growth of 2.9 percent, to $ 3,425.30.
The dollar has fallen to the lowest level in the last three years because investor confidence in the American economy was further weakened after the statement of the President Donald Trump on the President of the Federal Reserve Jerome Powella, SEEbiz reports. The weaker dollar makes gold more attractive for investors who have other currencies.
China accused Washington for the abuse of customs and warned other countries not to make broader economic agreements with the United States on their own damage.
– As tensions around the customs are still taking a speedy pace, we see the continuation of the growth of gold as a security market request – said David Meger, director of the Metal Trade in High Ridge Futures.
He emphasized how corrections and profits are expected, but still believes that the basic trend is stable to growing.
Gold, which is considered protection against economic uncertainties and is known as very liquid assets, has achieved more record values and increased by more than $ 700 since the early Wednesday broke up $ 3,300.
