Gold Surges To $1,475/oz and All Time Record Highs In Pounds, Yen, Canadian and Australian Dollars

Gold Surges To $1,475/oz and All Time Record Highs In Pounds, Yen, Canadian and Australian Dollars from Gold Seek

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Gold prices have surged in dollars and all currencies due to the escalation in the trade wars and a return to currency wars between China and the U.S.

Gold in USD – 10 Years – GoldCore.com

Gold surged as much as 2% in dollars yesterday and has consolidated on those gains today. It is gold’s highest level in dollars in more than six years (see chart) and gold reached all time record highs (nominal highs and not inflation adjusted highs) in many currencies including the British pound, the Japanese yen, Canadian and Australian dollars.

Trump’s escalation of the trade wars and the worsening U.S.-China trade conflict prompted investors to dump risk assets such as stocks and diversify into safe haven gold.

The trade war escalated at the weekend as U.S. President Donald Trump slapped an additional 10% tariff on $300 billion worth of Chinese imports and China warned that it would retaliate.

Trump escalated the trade and currency wars with Beijing by accusing China of devaluing the yuan, after US stocks saw their biggest drop in a year. The People’s Bank of China (PBOC) responded today and warned that the US decision to designate Beijing a ‘currency manipulator’ harms international rules and will have tremendous ‘consequences’ for global markets.

The risks of a no-deal Brexit and concerns about the UK political and economic outlook have contributed to gold reaching new all time record highs (nominal highs) in British pounds.

Gold priced in sterling pounds has surged 26% since early May to a nominal high of 1,220 pounds an ounce, beating its previous intra-day record of 1,204.63 pounds reached during the crisis in 2011.

Gold priced in sterling soared to a record high due to a growing realisation that a disorderly and highly disruptive British exit from the European Union is now almost certain.

New record highs in dollars, euros and other fiat currencies are only a matter of time now as currency wars see currencies devalue sharply in the coming months and years.

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Various authors presenting analysis and commentary on the precious metals, economy and precious metals mining markets.