| A rush to seek safety for the most part of 1H16 triggered by global growth issues and a major event like Brexit at the end of the second quarter bolstered demand for safe haven assets. As a result, safe metal gold saw a glorious rally in the first half of 2016 after quite a long time. Gold bullion ETF SPDR Gold Shares is up over 27% so far this year (as of August 1, 2016)
Investors should note that not only gold, most precious metals are on a tear this year on a subdued greenback as these metals are linked to the U.S. dollar. Dovish central banks across developed economies, including the U.S., to ward off growth issues actually made this asset class a winner...............................................Full Article: Source
|