Gold is currently reaping the benefits of the weak dollar and the widespread equities sell-off. We saw Spot Gold touch a three-week high at $1,248.47 per ounce, and is currently up 0.1% at $1,245.
An analyst at INTL FCStone Edward Meir said gold would continue in its gains while shares were sold. The movement has happened after equity investors getting more and more worried about the developments in President Trump’s legislative agenda.
Global equities could have quite a bit further to fall maybe as far as 5-10% according to analysts at Saxo Bank this is all a knock on effect as Trump’s pro-growth policies hit several hurdles along the way.
With Tuesday’s US stock market sell-off being significant, which will likely have an effect on the international equity markets Gold will continue to rally going into the end of this week.