Boost to gold price as investors are gearing up for 2017
- Donald Trump's win also destabilised the market a bit impacting the dollar as well as gold rates.
- US Federal Reserve's indication that interest rates might see a hike can lead to more gains for gold in the new year.
Â
The third day of this new year saw gold prices rising by 1% climbing to near a three-week high as investors turning to safe-haven bullion after early gains in stocks as well as other assets seemed risky to them.Â
Â
The beginning of the new year saw more than 4% rise in platinum and palladium prices as investors wanted to secure their money at this period of time.Â
Â
The end of 2016 saw the trend of persistence in wider markets, the rise of equities, and dollar index reaching a 14-year high led by firm economic data and numbers. This supported the gold prices that saw a jump on the beginning of this year.Â
Â
The last year also saw Donald Trump's win at the presidential elections that also destabilised the market a bit impacting the dollar as well as gold rates.Â
Â
Initially, after his win, gold took a fall whereas dollar received a boost. But, this is a temporary setback as many investors are still keen to invest in it. Since Trump's presidency can cause sudden disruption in the market, the investors feel that gold is still a good place to secure their position.Â
Â
Further, US Federal Reserve's indication that interest rates might see a hike can lead to more gains for gold. Â
Â