For most of last year, the gold rate was under pressure due to the strengthening of the US currency and the increase in the interest rate of the Fed. Only in December, amid falling stock indices, investors in the precious metal could breathe a sigh of relief.
According to some data, last month, stocks of “gold” ETF-funds increased by 2.25 million ounces, which probably was one of the drivers of growth in the value of the precious metal, which has already managed to rise above $ 1,290 for 1 ounce.
“Investors in gold have hope for a recovery in the market after reaching its lowest level in November 2018. This means that the uptrend should continue. In the near future, quotes can test a mark of $ 1,300 per ounce,” experts said.
“As the experience of past years shows, this mark is a very serious level of resistance for the precious metal. If quotes will be able to overcome it, then, apparently, we should expect an influx of new investors into the gold market, who will buy precious metal at a price increase,” they added.
According to the forecast of the investment bank Goldman Sachs, this year gold could rise in price to $ 1,350.
“If the growth of the US economy in 2019 and the rate of an interest rate increase by the Fed slows down, then the demand for precious metals will be high,” the financial institution said.
The material has been provided by InstaForex Company – www.instaforex.com