%Gold is currently trading at an all-time high of $3,250 U.S. per ounce as its epic rally continues unabated.
Investors continue to pile into gold as they seek safe havens amid the current storm in equity markets around the world.
Consequently, gold’s price rose above $3,200 U.S. an ounce for the first time on April 11.
A weaker U.S. dollar and rising concerns about the American economy have also sent investors running to the relative safety of gold.
Spot gold’s price has risen more than 2% in the past 24 hours and is up more than 5% in the last week as the U.S. stock market continues to selloff sharply.
News that China has responded in a tit-for-tat trade war with the U.S. by lifting its tariffs on American imports to 125% has only served to lift gold’s price higher.
Gold has enjoyed a record-setting rally in recent months, hitting multiple all-time highs and gaining nearly 21% so far this year even as stocks and cryptocurrencies crumble.
Analysts at Swiss bank %UBSGroup (NYSE: $UBS) have raised their forecast on gold’s price this year to $3,500 U.S. per ounce, joining many other Wall Street firms that are bullish on bullion.
Gold is also expected to benefit in coming months from expectations that the U.S. Federal Reserve will continue cutting interest rates, perhaps by as much as a full percentage point.
Lower interest rates reduce the opportunity cost of owning gold.
