Equity World, New York – The price of gold slipped strengthening dollar and rising equities, although the condition of political and economic uncertainty in the United States and Europe
is expected to provide support to gold for now.
Reuters page launched on Tuesday (02/14/2017), the price of gold in the spot market fell 0.7 percent to US $ 1,225.71 per ounce. While US gold futures shrinkage of 0.8 percent to US $ 1,225.80 per ounce.
Gold prices budge from the strengthening dollar, which reached its highest level in two weeks against the yen. It’s as investors focused again on a trade that dominates the ongoing post-election US President
Donald Trump, which was won last November.
Strengthening US currency makes dollar-denominated commodities more expensive for holders of other currencies and potentially reduce the demand for gold.
Gold prices also affected the strengthening of the global equity markets and rising bond yields.
In Europe, national elections that took place this year, starting from the Netherlands in late March made uncertain political conditions.
The first round of presidential elections in France in April, with the possibility of victory Marine Le Pen of the National Front raised a lot of uncertainty.
“Support for political gold prices, one Election in France,” said Danske Bank analyst Jens Pederson.
Le Pen has rattled investors by promising to bring France out of the euro zone and to hold a referendum on EU membership.
“Global uncertainty of the US, Europe and in Korea before going to push prices (gold) high global,” said the Head of Research Geofin Comtrade Ltd, hareesh V.
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