Gold Rallies As Dollar and Stocks Lose Ground After Trump’s Remarks
Gold rose to the highest level since November 23, 2016 as U.S. stocks and the dollar lost ground following comments from President-elect Donald Trump.
Gold for February delivery jumped around 0.8% to $1198.13 an ounce on Wednesday, heading for a settlement record in more than one month and a half. Prices looked set for the third consecutive session of closing higher after having settled at $1,185.50 Tuesday for their highest finish since Nov. 29.
The U.S. Dollar Index DXY, which tracks the currency against six rivals, shed more than 0.5% to trade at 101.50. The precious metal is inversely influenced by moves in the dollar, therefore, gold prices moved higher in the wake of a softening greenback, which makes it more affordable for buyers using other monetary units. Meanwhile, U.S. shares pared early gains, spurring demand for safe-haven assets.
Buy Stop at 1195.00, Take profit at 2010.00, Stop loss at 1190.00