With turmoil rampant, gold targets $1,300 as gloomy 2019 beckons
The commodity is powering into the year-end after global equities sank in the fourth quarter
Gold is closing out 2018 with a flourish. Prices are poised for the biggest monthly gain in almost two years as concerns about the outlook for 2019, volatility in global equities and a prolonged government shutdown in the US spur demand for the traditional haven.
Spot bullion hit a six-month high on Friday, topping $1,280 an ounce, as investors favoured defensive assets, adding to holdings in exchange-traded funds over the month. Silver gained to the highest since August, and the metal is headed for the biggest monthly increase since January 2017. Gold is powering into the year-end after global equities sank in the fourth quarter. Banks including Goldman Sachs Group have flagged the potential for gains over 12 months as the Federal Reserve steps back on the pace of US rate increases. As the final week of the year closes, there was a slew of downbeat economic data and outlooks from the US, China, Japan and Europe. “We are very optimistic on gold,” said Benjamin Lu, an analyst a...
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