Traders will be looking to “stimulus legislation, inflationary prices [and] large debts, so gold can resume the upward trend towards $2,000,” said George Gero, managing director at RBC Wealth Management, as quoted by MarketWatch.
The precious metal was trading at $1,887 per ounce on Monday, well below the $2,075 level reached in August. Analysts pointed to a stronger US dollar, lower equities and options expiration as the main reasons for the drop.
READ MORE: UBS ‘very bullish’ on gold as bank expects bullion price to surge higher
Gold rallied from $1,450 to a record high of $2,075 in the 4.5-months to August 7. Analysts project that, once the election noise passes, it could be one of the biggest asset winners. Some forecasts vary from $2,100 to $2,500 by early 2021. For more stories on economy & finance visit RT’s business section
November 3, 2020 (updated November 3, 2020) Published by StockMan