The price of gold may have come under increasing pressure in past weeks with concerns that the Federal Reserve's loose monetary policy may be coming to an end, but analysts have told forexsq that the precious metal can still break through the $2,000 mark in the long term.
"We're in a very good situation. QE (quantitative easing) is going to go for six to twelve months. They are talking about $500 billion to $1 trillion more in the system," Eugen Weinberg, head of commodity research at Commerzbank told CNBC Monday.
Record low interest rates by central banks around the globe have resulted in negative real interest rates â€” when allowing for inflation. Traditionally gold has an inverse relationship to interest rates and is used as a hedge against inflation, which can occur as a result of monetary stimulus.
- 1Dollar climbs against yen, pound
- 1Apple Probes Report ICloud Was Hacked to Gain Stars privet photos
- 1U.S. Stocks Fluctuate Near Record Before Factory Data
- 1Dollar General sweetens Family Dollar bid, may go hostile
- 1Dollar Gains to 7-Month High on Outlook for U.S. Economy | Top Forex Brokers
- 3Putinâ€™s Money Beats Sanctions in Russian Bank Bond Market
- 3European Bonds Rise on Factory Data; Ruble at Record Low
- 3Dollar rises slightly against yen, euro with investors on pause
- 3Euro Touches One-Year Low Versus Dollar | Top Forex Brokers
- 3Ukraine Fighting Surges as Russian-Backed Forces Gain
Become Our Fan
apple asia stocks asian stocks australian dollar bernanke boj china dollar draghi ecb economy eur eur/usd euro euro zone europe stocks european central bank european stocks eurozone eurusd facebook fed federal reserve forex forex news forex trading fx gbp/usd gold google greece imf obama oil pound spain stock stock market stocks swiss franc u.s dollar u.s. dollar u.s. economy u.s. stock u.s. stock futures u.s. stocks us dollar usd wall street yen