Gold News: Gold Still Soaring Due to Turmoil in the Oil Markets

Gold News

Gold advanced as turmoil across oil markets increased demand for a safe haven.

These days, the gold market seems to follow oil. There has been some deterioration in market sentiment because of lower oil price,  that is benefiting gold and the yen.

On Sunday, a meeting between key oil producing countries in Qatar ended without a deal to slow down production in the oversupplied market, which unsettled some investors. during this meeting, OPEC and non-OPEC producers could not reach an agreement to freeze oil output after that Saudi Arabia demanded that Iran joins in.

Gold is widely considered a safe-haven asset, so it attracts buying during times of heightened risk. “Gold is slightly firmer…, profiting from the increased risk aversion among market participants in the wake of the failed meeting of oil producers in Doha,” said Commerzbank AG in a research note.

Looking forward, gold is expected to continue rising as oil markets are not expected to find a deal anytime soon.


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