Gold News: Finally Some Hope For Gold Investors
Gold News
Since 2011 gold has been in the bearish market. Now, after a strong week for the yellow metal where the price increased to over 4%, some analysts are beginning to be bullish on gold for 2016.
January has consistently been the best month of the year for gold. This because the new year always bring uncertainty about what will happen to the stock market, and gold is viewed as a safe haven. Concerns over the Chinese economy caused gold to increase to over $1100, hitting a nine-week high. However, Friday saw a small recovery for Chinese equities, causing the yuan to appreciate. Safe haven surges are often short -lived, and it is unclear if the equities recovering are a sign that the surge is over.
There are still other factors that could cause gold’s price to rise and fall. Another reason for gold investors to be optimistic is that there is an increase in demand for Gold Jewelry. U.S. imports for gold jewelry has hit a seven-year high, as the price of gold is still lower than it usually is. On the other hand, the federal reserve is expected to raise the interest rate again in April, which will hurt gold’s price. This makes the metal’s future uncertain.
