Gold News: Low Trading Volume & Uncertainty Pushes Gold To 3 Month High Level

Gold News

In the latest gold news: As of january 3rd, 2017 at 10:11 GMT, gold was trading at $1,148.85 per ounce, based on February 2017 futures contracts, up from the last gold news update , when it was trading at around $1,133.45 an ounce last week.

Over the past week, prices of gold have risen as equity markets experiences low volume trading from the holiday season, a decline in the dollar, and continuing uncertainty accross the EU. Gold rose to a 3 month high on December 29th, 2016, trading at $1,158.10 an ounce. A weaker dollar, generally correlates with a more bullish investment outlook for gold as an alternative investment source.

gold news

Additionally, low trading around during the holiday season, had helped push prices higher as investors may seek other underlying assets for a higher return. Gold investors, in general, are beginning to believe that gold has more or less bottomed out post the Fed rate hike, and may now begin an upward trend again.

With regards to macroeconomic events, several key european elections will be taking place over the next few months which will be crucial for the future of the EU and Eurozone. In both France and Germany, populism has been on the rise as average citizens have begun to dislike the ‘establishment’, resulting from the syrian refugee migration crisis and low overall growth accross the eurozone. If populist politician do end up taking the reigns of the EU’s major countries, then gold will likely rise as uncertainty over the fate of the EU and Eurozone will drastically increase.

In a forecast dated from November 28th, I Know First’s algorithm showed 100% accuracy with regards to its gold predictions in the 7-day long gold prediction as seen in “Gold Price Outlook Based on Pattern Recognition.” After 1 month, I Know First’s average percent change came out to an impressive 8.50%, with the highest return reaching 16.77%.

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