Gold prices increase inlight of the U.S. announcing their new inflation rate. We know that gold acts as a useful hedge tool against rising inflation. The highest price gold traded at today went to $1969.76. As you may already know, today the Fed announced the new U.S. inflation rate, which now sits at 8.5%.
Gold is still gaining
Naturally after this announcement investors would turn to gold to protect their investments from inflation. We see this reflected in the graph above. In spite of the US pushing up treasury yields to try to fight inflation, gold is still gaining.
Price Chart of Gold
Related article: ECB To Shock Markets In The Following Week!? US Dollar Rate Under Pressure As Well!
Source: Finance.yahoo.com
Graph: Tradingview.com
