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Wednesday, January 21, 2015

Economic security/ Gold price rise

Swiss Franc banknotes and a one kilogramm gold barA number of other factors, besides the recent decision by the Swiss National Bank to remove the franc's peg against the euro, are contributing to the rise of gold prices today, Gold Eagle analysts told Sputnik Tuesday.

On January 15, the Swiss National Bank (SNB) removed the minimum exchange rate for the franc against the euro (1.20 francs per euro), which was introduced in 2011 amid the eurozone crisis. The decision prompted investors to buy safe haven assets in gold, leading to the growth of gold prices in the past days.
"Certainly, the recent SNB decision will have some short-term influence on the price of gold. However, long-term fundamentals will surely influence the price of gold during 2015," a researcher at Gold Eagle providing leading analysis on gold market tendencies since 1997 told Sputnik.


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