[21st – 27th February 2017] Weekly gold prices report
Gold prices started weaker than expected on Tuesday, 21st. The Federal Reserve announced another possible rise in interest rates in March. Australia's ANZ Bank added more to this scenario where gold's price was below $1,230: "All eyes will be looking for any evidence that Trump's policies are having an impact on the Fed's rate policy."
The next day, gold prices rose to $1,240 per ounce. This $10 increment was provoked across the pond. On Wednesday 22nd, not many changes were expected because the dollar went stronger. However, the worries over France's presidential elections were already affecting the gold market, positively, though, as Le Pen said she plans to replace the euro with a new national currency, if elected.
The price of gold kept on rising on Thursday, 23rd, reaching $1,247 per ounce. The dollar fell that day as the US central bank confirmed its concern about inflation. The fall of the USA's currency didn't stop on Friday, 24th either. Some interesting comments by banks worldwide and other experts appeared in the press:
"With still a large amount of political uncertainty for this year, this position [prices] is likely to continue growing," declared the ING bank.
"The Western world has insane amounts of debt [due to inflation]. Gold is the best hedge there is against that. I still hold it... and I will until the finances of our governments are firmly under control." writes Merryn Somerset-Webb in the Financial Times.
After the weekend, Monday, 27th, witnessed an attractive rise in the price of gold to $1,256 per ounce. Investors are waiting for detailed information on the economic policy by the White House. Meanwhile, the dollar is becoming weaker and Asian markets, on their part, see demand for gold going higher and higher.
The whole world takes refuge on gold. Stay fast on your feet.