On Wednesday, April 19, 2017, gold prices spiked up to $1,292.50 and then were down shortly after. Investors are looking for gold to hit this high again. However, the precious yellow metal just doesn’t seem to be able to pull that off.
Wednesday’s low price was $1,279.03. This is supporting the thought that investors aren’t as excited about hopping on the gold investment bandwagon. Investors are closely watching the high and low from Wednesday to see what kind of future movement they can expect from gold.
Uncertainties Are Easing
Early in the week, gold prices began to climb based on investor demand. People were worried about the events near North Korea and the apparent show of force that the United States has exerted. Though, thanks to communication errors from officials in the U.S., the fleet supposedly steaming toward North Korea wasn’t actually headed there. Investors took note of this and demand for gold has slacked off.
News of Russian jets near Alaska came shortly after reports of the miscommunication regarding the U.S. fleet. This doesn’t seem to have shaken investors up, but it will be interesting to see how the market reacts if there are subsequent passes made in the region by the Russian military.
Polls Opening in Europe
There is a good chance that the price of gold will start an upward trend again soon. This weekend, polls in France are opening. Also, this summer, the polls in Britain will open for voters to decide on certain matters. Depending on the results of those polls and how they compare to what people expect to happen, there might be some shakeups that encourage investors to stand behind gold as is common when uncertainty reigns.
The summer polls in Britain coincide with the next potential interest rate hike by The Fed in the U.S. While 52.8 percent of people polled last week felt certain the interest rate would increase in June, only 40 percent of people felt the same way this week.
Overall, this week is one of holding for gold. Keeping an eye on matters across the world in the coming weeks and months is crucial for anyone involved in gold trading or plans to start investing.
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