by Ewa Manthey
Gold stayed supported by post-Brexit global political and economic uncertainty on Friday morning in London while silver continued to outperform, climbing above $19 for the first time since September 2014.
– The spot gold price was last at $1,335.40/1,335.85 per ounce, up $12.60 on Thursday’s close. Trade has ranged from $1,320.70 to $1,337.85 so far.
– “Given the potential fall-out from Brexit that is causing central banks to be more accommodating, we are not surprised that gold prices are rising and, as with the base metals, funds seem to be getting interested in all the metals again,” FastMarkets’ William Adams said.
– On Thursday, Bank of England (BOE) governor Mark Carney said that the bank could lower interest rates to stabilise the economy following the Brexit referendum in the UK.
– Silver was last at $19.235/19.260 per ounce, up another 50 cents, benefiting from both its safe-haven status and risk-on sentiment, market participants noted. “We feel that silver has further upside in the near term because the fear factor could play out a little further. But considering the extreme bullishness in the market, a reversal could be around the corner – perhaps later this summer,” Boris Mikanikrezai, metals analyst at FastMarkets, said.
– In the other precious metals, platinum was last at $1,026/1,032 per ounce, up $8, while palladium was little changed at $592/599.
(Editing by Mark Shaw)
