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The cost of gold has reached a record high, as the demand for valuable metal remains strong against the background of global economic uncertainty.
The price of gold on the spot reached $ 3.508.50 per ounce of Tuesday, continuing its upward trend, which increased by almost a third this year.
Valuable metal is seen as a safer acquisition for investors during economic uncertainty, and its price has grown earlier this year after US President Donald Trump announced big tariffs that upset global trade.
Analysts say reduces its key interest rate, Gold is even more attractive to investors.
Adrian Ash, Director of Bullionvault Research, said today in the BBC program that the rise in gold prices over the past few months is really boiling down to Trump and “what he did with geopolitics (and) what he did for global trade.”
“Last year, there were really elections to the United States, which really fell under his fire,” he said.
Analysts also refer to concern about the independence of the US Central Bank, the Federal Reserve as another fact that drives gold.
Trump has started repeated attacks on the chairman of the federal reserve system Jerome Powell, and recently tried to fire one of his governors Lisa Cook.
Derren Nathan of Hargreaves Lansdown said “Trump’s attempts have undermined the independence of the Federal Reserve Bank”, “what movements new interest to assets safe asylum, including gold.”
On Monday, the head of the European Central Bank Kristina Lagard prevent What if Trump had undermined the Fed’s independence, it poses a “very serious danger” for the world economy.
She said that if the Fed was forced to respond to Trump’s policy, it would have a “very disturbing” impact on economic stability in the US, which means the rest of the world.
Mr. osh added that when the price of gold is out of interest to investors, it was usually tempered by slowing the purchase in China and India -the two largest markets for gold jewelry.
But this time he said that gold continues to seek demand in China and India, rather than leaving the market during high prices, jewelry buyers turn to the purchase of investment gold products such as bars or coins.
