Gold Up on Iran Fears
Anybody who watches the gold price on the sidebar of my blog already knows that gold and other precious metals just keep going up.
Supposedly it’s because of concerns about Iran, but personally I think they’re just putting the blame on Iran when the real reason is that investors fear further inflation and devaluation of the dollar due to the war. The article even mentions the “breakdown of the dollar” as one possible reason for the price increase.
| Go to Home - Most Recent Posts“Iran continues to provoke conflict and the gold price is reflecting that sense of uneasiness,” said Peter Spina, an analyst at GoldSeek.com. “Iran knows they have leverage here, especially with oil above $70 and the U.S. dollar becoming ever so vulnerable.”
So “all indications are that the geopolitical tensions will continue to support gold at this juncture, with the breakdown in the U.S. dollar adding even more ammo to the run,” he said. The greenback dropped to an 11-month low against the euro Friday, and a three-month low against Japan’s yen.