The Value of Gold Has Reached A Record Level. This is due to the expected reduction in interest rates in the United States. Investors Prefer to Put Their Money in Precious Metals.
The Gold Price Climbed in Singapore to Above 3,500 dollars (2.990 euros) per Troy Oune (31.1 Grams), Narrowly Breaking the Record From April. A Day Earlier, The Silver Price had Already Reached a Peak, But Not A Record.
The Precious Metals Are Rising Rapidly in Price This Year. The Value of Gold Has Increased by 30 percent and that of Silver by Almost 37.6 percent, Accordance to Data from News Agency Bloomberg .
One of the Causes is that the dollar is Falling in Value. Investors are worried about the interference of American Politics with the interest rate policy.
The American President Donald Trump is Putting Jerome Powell, The Chairman of the Federal Reserve, Under Considerable Pressure to Lower Interest Rates. Trump also recently announced the dismissal or fed director Lisa Cook. The Attacks Are Seen As A Threat To The Independence of the Central Bank.
That interference Coulde Undermine Confidence in the United States. Uncertainty about the Independence of the Fed Drives Investors to Safer Investments, Such As Gold.