26.06.2020 Gold Daily Analysis

26.06.2020 Gold Daily Analysis

Gold today is trading at $1774.75, it is trading higher with  $4.15 challenging the $1,800 an ounce mark which has been hard to crack. With a resurgence in coronavirus cases, the demand for safe-haven assets has risen, which is paving the yellow metal’s way to its record price. Gold has jumped this year as the Federal Reserve lowered interest rates while pumping in trillions of dollars in stimulus to help recover the US economy ravaged by the pandemic. The concerns of currency debasement and a potential rise in inflation have investors turning to bullion as a store of wealth. According to Vivek Dhar, an analyst at Commonwealth Bank of Australia “The rise in Covid-19 cases has been at the heart of the recent uptick in gold futures.” These gains in gold are not only driven by the investors clearly watching infections pick up across the world which is boosting demand for the precious metal as a safe haven but also on the weakened US dollar.