‘Fear trade is likely to remain in place this week’: analyst
by Myra P. Saefong and Rachel Koning Beals
Gold futures settled higher for a second session in a row on Monday, holding ground at their best level in close to two years in the wake of the U.K.’s historic and market-rattling decision to exit from the European Union.
“The fear trade is likely to remain in place this week, at least until we understand the next political steps and key positions across policy makers,” said Rob Haworth, senior investment strategist at U.S. Bank Wealth Management. Gold tends to draw haven demand during market volatility.
[…] August gold GCQ6, +0.56% rose $2.30, or 0.2%, to settle at $1,324.70 an ounce, with prices holding ground at their highest settlement level since July 11, 2014. On Friday, they posted a gain of $59.30, or about 4.7%—the largest single-session dollar and percentage climb since September 2013, according to FactSet data.