Many investors hope to see a dynamic rise in the precious metal's prices in the near future.
Experts note that the gold market is ready for a breakthrough. Bill Baruch, president of Blue Line Futures, said on Monday that it is only a matter of time before gold brakes the price range and soar.
Baruch acknowledged that given the geopolitical tensions, investors may wonder as to why gold prices are not rising faster.
"The dollar has not made its next leg down," Baruch explained the main obstacle that hinders the upturn of gold prices.
On Tuesday, 17th of April, the price of an ounce of gold was $1,347.
On Wednesday, 18th of April, the precious metal analyst at FastMarkets Boris Mikanikrezai encouraged investors to stay patient with gold. The expert's forecasts regarding the precious metal price are very optimistic.
"The dollar will remain weak and interest rates in the U.S. are going to be just as low in the coming months," B. Mikanikrezai noted.
According to the analyst, inflation is the second key element that pushes the yellow metal up. Being facilitated by strong oil positions and a rigid labor market, prices are rising. The third element that contributes to the future growth of gold bars is the bloated U.S. deficit. Mikanikrezai summarized that all the aforementioned factors will contribute to the rise of gold prices.
On Wednesday, an ounce of the precious metal stopped at the $1,349 mark.
On Thursday, 19th of April, the European Commissioner for Economic Affairs and Taxation Pierre Moscovici expressed the need to remain calm at the time of trade dispute escalation. He considers protectionism to be the main problem that stands in the way of the economic growth. According to the expert, the policy of customs restriction patronage provokes violations in vendor deliveries and reduces workforce productivity.
In the photo: Former French Minister of Economy and Finance Pierre Moscovici advocates for the creation of a unified eurozone budget. He believes that this measure will help to mitigate any conflict in the aftermath of the disastrous actions for the economy.
On Thursday, the price of an ounce of gold was $1,345.
On Friday, 20th of April, Chinese Ambassador to the United States Cui Tiankai called on America to engage in a constructive dialogue. According to the ambassador, the trade war causes irreparable harm and "poisons" Chinese–U.S. relations. Cui Tiankai noted that if America wants to start a confrontation, then China will respond with retaliatory acts.
"We were surprised that gold did not rise, given the geopolitical uncertainty surrounding Syria, Russia and fears of trade wars with China," said Jonathan Butler, a precious metals strategist at the Mitsubishi Corporation. However, there must be way more serious grounds for a conflict that will transcend the "war of words" in order to escalate prices of gold.
Jonathan Butler confirms that gold acts as a safe haven at all times, serving as the foundation of financial security. The strategist forecasts a further rise in gold prices.
On Friday, the price of gold was $1,336 per ounce.
On Monday, 23rd of April, the price of an ounce of gold was $1,334. The shift in price of the precious metal was the result of the weakening of political risk fears. On Saturday, 21st of April, North Korea announced the termination of nuclear and missile tests. Representatives of the Ministry of Commerce of China, in turn, announced their readiness to cooperate with America on trade and economic issues.
According to Simona Gambarini, analyst at Capital Economics, geopolitical risks will remain the primary drivers for the growth of the yellow metal this week.
"The main thing that needs to be monitored is whatever happens to geopolitical risks, it is what will drive prices over the next few weeks," Gambarini said.