In the period extremely increased uncertainty and turbulence on the stock exchanges, investors continue to seek a safe haven in gold.
The new magical level fell on Friday, because the ounce of gold from 31.1 grams had to pay more than $ 3,000 for the first time. This year, gold has increased by 14 percent (and is currently quite mature to correction down), and long-term yields is also very good. Anyone who bought gold in mid-March 2015. ($ 1150) to the present day has an average annual return of exactly 10%.
Interestingly, such profitability was in the last 20 years. More and more money flows into the ETFs assisted with gold. Recently, gold prices are also encouraged by purchasing central banks. An important customer is China, which in February fourth month in a row, strengthened its reserves by trying to reduce the addiction to the dollar investment.
The price positively also affects the expectations that the FED in June could lower the interest rates, seebiz. The American Central Bank will meet next week at the meeting in March, but it will almost certainly leave interest rates unchanged. Otherwise: the theories showed that Donald Trump (Customs, Releases in the Public Sector …) perfectly slows economic growth and thus affects the decline in government bonding.
The over-indebted America must refinance a large part of their debt, so they are of course in the interest of interest rates as low as possible, as this saves billions of dollars on new issues of bonds. At the same time, in front of more worse macroeconomic data, Trump Bi Fed “forced” to further lower interest, which would open the way to the new economic upbread.
