The Price Per Ounce of Gold has Risen above $1,500

Matty-Sways

Some investors predict that the recent uptick in the price of gold will continue and bring it to all time highs.

The Price per ounce of Gold has surpassed $1500, even as both stocks and bonds are set to end the year at a tandem high. In the past calendar year gold has risen more than 17%.

Thursday's surge in the price of Gold is helping it to have its best yearly performance since 2010 on the back of US-China trade war uncertainty and a slew of rate cuts from central banks around the world. Investors began to buy the precious metal as a way to safeguard their investments against a potential downturn as recession fears mounted. However the forward outlook is probably going to be different the Fed is unlikely to make any more cuts in the coming months and on Tuesday, President Trump said that the phase-one trade deal in the works with China is done and will be signed soon.

Some investors think that could mean that further gains from gold are going to be stifled. As one economist argued in September that more rate cuts from the Fed could send Gold over $1,600. Another said that if recession risks were to continue, the precious metal could surge over $2,000 and hit an all-time high.

Even though it seems that the recession has been staved off for now, investors are still buying into gold to position for 2020. Goldman Sachs and UBS both forecast that gold will continue to gain in the next year and could climb to $1,600 per ounce. However, JPMorgan has a bearish bet on gold in 2020 and thinks it could fall as riskier assets such as stocks take off. 

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