+357 25 105 641
Trump's words boost gold
Published on 17.05.2017 22:33

The gold price has rocketed higher today, racking up its 5th straight day of gains after a bombshell emerged that US president Donald Trump has been interfering with the work of the FBI.

At 3.59pm (GMT) the precious metal was trading at $1,256 up from $1,236 in yesterday’s trading

It is alleged that President Trump asked the former FBI director, James B. Comey, to close down the federal investigation into Mr. Trump’s former national security adviser, Michael T. Flynn, in an Oval Office meeting in February.

It is alleged that Comey noted this down in a Memo directly after the meeting.

“I hope you can let this go,” the president told Mr. Comey, according to the memo. Trump now seems to be going from one problem to the other and this time around impeachment proceedings cannot be ruled out and this is bound to send shock waves through financial market which will benefit gold

 “Perhaps is facing his toughest time in the office,” said Naeem Aslam, chief market analyst in London at Think Markets U.K. Ltd.

 “Investors are questioning whether there is “any possibility of impeachment becoming a reality, because certainly that would hit the confidence massively.” He added.

Some are claiming this gaff by Trump is comparable to the Watergate scandal and if that is the case who knows how high gold can go,

“Safe haven assets have caught a bid as markets have become increasingly concerned by the maverick actions of Donald Trump,” said Richard Perry, a Hantec Markets analyst, in a note.

“This has got commentators making comparisons to Nixon’s Watergate scandal, and markets are responding,” he added.

The material published in on this page is produced by the FIBO group companies, and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC; furthermore it has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

Andrew Masters

Analyst

The world of trading has no boundaries
×

Risk warning: Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, your level of experience and preparation of taking risk. The possibility exists that you could sustain a loss of some or of all of your initial investments and therefore you should not risk more than you are prepared to lose. Please seek independent financial advice if necessary.

Important notice
By clicking "Continue" you will be redirected to the website operated by FIBO Group, LTD company registered in BVI and regulated by FSC. Click "Cancel" to remain on this page.