Lates News

Asian gold prices plummeted on Monday, as the previously record-breaking momentum of precious metals cooled down. The price of gold fell by 6.3% at one point, dropping below $4600 per ounce for the first time since January 16. The price of silver also dropped by 11.9% to $75 per ounce. The price adjustment began last Friday, before Kevin Warsh was nominated as the chairman of the Federal Reserve, with people believing he is more "orthodox" on monetary policy than some other potential candidates. Raymond Cheng, chief investment officer at Standard Chartered Bank North Asia, said, "We saw a lot of speculative activity at the time. The news of Warsh's nomination caused a reversal in the market." Cheng stated that with the uncertainty of US government spending, gold at $4650 per ounce is a "buying opportunity." He said, "We believe the Trump risk premium is still reasonable. Whoever the chairman of the Federal Reserve is, they will continue to serve as the president of the United States. His fiscal policy will also remain expansionary." (Financial Times)