Gold price is constantly rising, now currently at Rs. 55,000/10gm which was last seen in 2011. It is very clear that nothing and no one can stop the rise of GOLD. It is about Rs. 55,000/10gm.
LONEST WINNING STREAK
Gold price has been constantly rising since 2012. Gold investors think gold has the strongest streak as of now. For them it is just the beginning. With a global increasing interest rates monetary policy and the central bank running their money printing machine at full pace, investors hope that the gold price will continue its rally until it touches Rs. 1,00,000/10gm.
From the outset, this may seem bizarre, but with a loose monetary policy in place and a significant stock market crash hiding behind closed doors, the gold price will likely continue its run.
It is widely anticipated that the Federal reserve and central banks will maintain its increasing interest rates for monetary policy tone, meaning that interest rates will likely remain at current levels for an extended time.
In addition, there are strong expectations that the Federal Banks (Central Banks) will conclude their meeting on increasing interest rate note. This may bring more weakness in the dollar price index, which could be more favorable for the gold price.
SO, WHAT’S DRIVING GOLD PRICE?
Gold prices have been supported due to the rising geopolitical tensions between the U.S. and China. These tensions could continue to escalate if China doesn’t honor its phase one trade agreement that hasn’t come in the spotlight yet.
China bought only 23% of the total purchase target of goods from the U.S. during the first half of this year. If Beijing doesn’t pick up it’s buying in the second half; the phase one trade deal agreement is likely to upset Donald Trump.