Gold enjoys best week in five years as investors rush to safety

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In five years, gold has enjoyed his best week, as investors hastened to safety of one of the few shelters left in the global markets.

On Friday, the bars rose more than 6.5 percent, reaching a new $ 3,237 of a troy ounce, the best weekly profit from early March 19.

The ascent came as Market: The panic unleashed by the US President’s Commercial War forced the investors to back down from US treasures, in normal times, as the foundations and the dollar fell against the euro.

“Sales of US shares and treasures have been sold to American assets, giving investors to seek security gold“Alexander Zurf said, a bars in Herus.

“The rally is burned from the fear of a full trade war,” he added, indicating the recorded record resources, refraining from bond yields and weakening factors.

As gold is a price for a price, it usually benefits from the weak US currency, as it makes it cheaper to buy in other currencies.

The escalation of the global trade war has developed deviated markets and contribute to the uncertainty of the health of the US financial system. On Friday, Beijing returned to Washington, 125 percent of US import tariff.

“You keep gold when you worry about the system violation,” says Peter Mallin-Jones, Peel Hunt analyst. “It’s not surprising that keeping the safe shelter of treasures or cash is not as attractive as the previous crises.”

This year, the boraker was a historic rally, which stimulates the great demand for investors, as well as physical shopping from central banks, which seek to diversify from the dollar.

During the first quarter, the inflows of commercial exposure to gold resistant were at their highest levels, as the coronary alarm epidemic.

Rhind, GranitesHares CEO, ETF CEO, has been flying to the gold flight in recent days.

“We are in this very unusual situation where the flight does not operate on traditional safe shelters,” he said, pointing to treasury growth. “You see the growing pace in an environment where people are nervous from the market, it violates the trust node.”

During this week, the physical demand for gold has also been strong, and buyers in China make a significant bonus at the prices of the international point, a strong demand.

The UBS raised its gold price for the second time, until $ 3,500 in the coming 12 months, from $ 3,000 to the beginning of the year.

“We expect additional demand after central banks, institutions and investors after current events,” WBS analysts write to customers.