Us Going To War With North Korea And Gold Going Below $1,000?
By GCRU Gold News on Friday, April 28 2017, 23:23 - Permalink
I agree completely that geopolitics are driving the price of gold, and affecting other markets. And they will continue to be a driver. The Fed is currently on a tightening path and that’s normally a headwind for gold, but gold is performing very well. I’m surprised about how well gold has performed over the last month given the macroeconomic headwinds. So I believe there is something else driving gold, and there are two possibilities in my mind. Firstly, it could be good old-fashioned supply and demand. I have met with several physical dealers, e.g. in Shanghai, and everything I’m seeing is indicating tightness in supply and strong demand. But I think the real driver right now is geopolitics.