Primarily due to concerns over the US government shutdown, the quotes for Gold and Silver rallied up Friday as the price of oil goes above $111 per barrel.
This is certainly good news for gold investors and the price of gold is expected to go up at least 3% further this coming week.
Frank Lesh, a broker and analyst for FuturePath Trading says that the major contributor for the rally is due to the price of dollar and the US current rate of inflation. He further says that the trend will only correct when the dollar stops decreasing in value.
Likewise, price for silver has gone up 7.2% within the past week. And yearly gains for the metal is now at 31%.
For those wondering why gold quotes and investment tradings are going up, it is because that the metal is often considered by many investors as the best place to park money when there is uncertainty in the economy and political landscape.
And while U.S. Treasury bonds continue to yield low margins, gold provides the safe haven that investors are looking for.