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The price of gold can break the record and to rise above two thousand dollars per ounce in the next two years. This forecast was made by analysts at Citigroup, reports Bloomberg.
According to experts, such an outcome is possible against the background of rising risks of global recession, the growing tension in the trade war the US and China, as well as the likelihood that the Federal reserve system (FRS) the USA will lower interest rates to zero. Record at the moment, the price of gold was fixed in 2011, then, an ounce was worth 1921,17 thousands of dollars. Citigroup suggested that the price of gold will rise by another 125 to $ 1575 per ounce in the fourth quarter of 2019. By 2020, cost $ 1675 dollars per ounce.
Meanwhile, as the findings of trading, gold continues to fall in price the fourth day in a row. As of Tuesday, September 10, the precious metal fell 0.2 percent to 1495 dollars per ounce. Reuters relates the situation with the improving risk sentiment in the markets. “Globally we are witnessing a shift towards more profitable assets,” concluded senior market strategist at CMC Markets Michael McCarthy. He added that currently the markets are waiting for the next negotiations, the U.S. and China and the resolution of trade disputes.
Gold saw the potential for investment after the price jumped to the highest since 2013. In particular, the precious metal is seen as an alternative to US government securities with low returns. The price increase is explained by the easing of Central Bank policy aimed at stabilizing the economy in terms of trade war.
Video, photo All from Russia.