May 15, 2020
Gold Generates Upside Momentum
Traders are worried about rising cases of infections again, since the governments ease their restrictions. The bullish run that stocks markets enjoyed last month was due to a slowing rate of the infection as well as the reopening of economies.
Now after some countries are reopening their economies, there have been increases in the number of new cases. The fear factor arises again. As a result, the traditional safe-haven gold is strengthening. Gold is traded around $1735 and could easily inch towards $1800. More news about a flare-up in infection cases might trigger an upside breakout from the range.
U.S oil rose to $28.6 per barrel. Higher demand as some U.S states emerge from lockdowns contributed to the climb. Oil’s next target could be $34.5 per barrel.
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