Gold and silver are becoming more expensive amid the General panic of investors
Gold continues to rise and by December 25, rises to $1272,50 per Troy ounce. This is the maximum for six months from 24 June. The uptrend was formed on November 28, when the world investors sharply took protective assets.
First it was the expectation of the December meetings of the Federal reserve system of the United States with pressure on the FOMC from the White house and Donald trump, reasoning whether Jerome Powell to resist this pressure and will retain the previous fed monetary course. The course was eventually retained with minor amendments: in 2019 the fed will raise rates twice, not three times, as planned. The rest is left unchanged, and investors began to worry about the possibility of inhibition of growth of the American economy. It was the first wave of increased demand for gold.
The second wave is unfolding now, when the United States is “shutdown” (Government Shutdown, the suspension of activities of the government). In fact, there is nothing unusual, the us faced it already 19 times, the last one happened in January of this year. This is due to the absence of a decision from Congress on the issue of financing the work of the government. To avoid failure in the financial indicators, some departments simply stops working until the moment when politicians still agree. However, this instability imposed on factor Christmas, pressure to market the assets and stimulates the demand for tools “safe Harbor”.
According to “Alpari gold”, against this background, gold prices can rise in the near future in the area of $1286 per ounce.
The price of silver
Silver prices rose to the upper limit of the medium-term trading range $of 13.97-$of 14.91. On the morning of Tuesday, December 25, silver is trading at $14,85 per ounce. While there is a demand for safe assets, silver can rise to $15,00-$15,15, but the above is only subject to heightened market turbulence.