Equityworld Futures-Friday afternoon last week, the US Federal Bureau of Investigation announced that they will reopen the investigations of the emails from the Democratic presidential candidate Hillary Clinton.
Jim Wyckoff, senior technical analyst at Kitco Metals, said that this notification could be a potential game changer for the US presidential election, creating market volatility, which is positive for gold. According to the report, Volatility Index jumped 10% after the announcement of the FBI.
Recent uncertainty of the US presidential election also helped weigh on the US dollar. The US dollar index for the first time ended the last week in negative territory with selling pressure coming at the end of Friday. The days prior to the last week the USD index touched a height of over eight months.
The weakening of the US dollar later at the end of last week pushed gold to a second weekly increase in a row, with the price of gold closed on Friday last week at $ 1,276.80 per ounce, up 0.78% since it opened on Monday.
This week, both Wall Street and Main Street alike saw gold will continue its recovery is happening lately.
Of the 18 analysts and traders who took part of a survey of Wall Street, 10 partisiapn or 56% viewed gold will rise this week. 5 or 28% voted down, while the remaining 3 or 17% view the precious metal this week move “sideways”.
Main Street from 544 participants who voted in the online survey Kitco.com, 237 respondents or 44% said they were “bullish” on gold this week while 234 or 43% “bearish” and 73 or 13% neutral.
Colin Cieszynski, chief market analyst at CMC Markets in Canada are among those who view gold “bullish” on this week.
According to him, gold will continue with a steady recovery. Gold has very experienced “oversold” when the down position at $ 1.250 and is experiencing a recovery very well.
Phil Flynn, senior market analyst at Price Futures Group, also looked at gold will rise this week, saying, “You have impressed” with the ability of gold to keep rising in the past week amid US dollar strength.