Why is Gold rising after Brexit?

Why has the value of gold shot up I am being asked at present?

It can be a complicated issue but I will try to quickly overview the answer for you!

The price of gold has and will continue to dramatically rise up in 2016, and has now "entered a new phase" of growth in the post-Brexit world according to all the precious metal experts out there! 

The gold price has increased 24% in 2016 so far.

And post brexit risks to the global economy will make it the must have investment for the rest of 2016, again according to the people in the know!

As a result, it is generally agreed that in the short term i.e., 2016 gold will likely hit $1400 per ounce and perhaps resting at $1340. Longer term forecasts i.e., 2017 for gold to average $1280 per ounce, compared to $1225 previously.

This does not completely answer the question I hear you say……..

Well look at it this way. Generally speaking when there is uncertainty in the world economy caused by recession, Brexit! or god forbid war then that is usually when the stock markets crash, money invested is lost.

To counter this, gold is seen as a safe haven, hence gold buyers buy on the open markets, meaning less gold on the market for sale which pushes the price up, with me??

Simples!

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