GoldCore Note
Gold prices surged to a new six-year high today after markets digested the U.S. Federal Reserve signalling a move to looser policies and other central banks including the ECB made similar dovish signals.
The Fed said it was ready to cut interest rates as soon as this July due to the very uncertain outlook and the slowing U.S. economy. This led to a sharp fall in the dollar and gold gaining 4% and breaking above the key $1,400 price level.
The economic recovery in the U.S. looks very ‘long in the tooth’ and the move to looser monetary policies by the Fed will further impact the dollar and should see higher gold prices in the coming months.
The very uncertain situation in the Middle East and the real risk of a military confrontation between the U.S. and Iran saw oil prices surge 6%. This will also support gold and means that any pullback will likely be short and shallow.
We are seeing a new sense of urgency from investors in recent days and an increase in safe haven buying due to concerns about the geopolitical and economic outlook.
News and Commentary
Gold Jumps Nearly 4% to Settle Near Five-year High in Reaction to Fed Decision
Gold Hits Near 6-year High After Fed Signals Rate Cut
Oil Racks Up More Gains on US-Iran Tensions, Gold Breaks $1,400
Gold Achieves Liftoff as Prices Rocket Toward $1,400 an Ounce
Gold Prices Jump About $80 This Month
If Gold Pulls Back, It Will “Most Likely Be Short and Shallow” – Goldcore
“A New Sense of Urgency is Being Seen From Investors in Recent Days” – Goldcore
Why Gold Prices Might Be Poised for a Big Move Higher
Currency War is the Next Phase of Global Conflict – AEP
$12 Trillion of Negative-yielding Bonds Are Sending a Clear Message of Distress
There’s Not Much the Fed Can Do to Address a Liquidity Crisis
Hedge-fund Boss Who Predicted the ‘87 Crash is Does Well From Timely Call Last Week to Buy Gold
LBMA Gold Prices (AM/ PM Fix – USD, GBP & EUR)
20-Jun-19 1381.65 1379.50, 1086.25 1087.74 & 1222.90 1221.27
19-Jun-19 1342.40 1344.05, 1066.67 1066.64 & 1198.36 1199.43
18-Jun-19 1344.55 1341.35, 1073.22 1070.67 & 1201.89 1198.09
17-Jun-19 1333.20 1341.30, 1059.49 1065.13 & 1188.81 1193.09
14-Jun-19 1352.45 1351.25, 1069.79 1070.33 & 1200.03 1201.80
13-Jun-19 1335.80 1335.90, 1054.21 1052.69 & 1182.85 1184.81
12-Jun-19 1336.65 1332.35, 1049.27 1045.76 & 1179.99 1177.26
11-Jun-19 1322.65 1324.30, 1040.53 1041.30 & 1168.96 1170.42
10-Jun-19 1328.60 1328.60, 1046.94 1048.66 & 1175.41 1175.94
07-Jun-19 1334.30 1340.65, 1049.16 1052.14 & 1184.19 1184.60
06-Jun-19 1336.65 1335.50, 1053.15 1051.17 & 1189.62 1185.92
