Gold has partially recovered the losses of the previous day, but investors are gradually losing interest in the precious metalas a protective asset. Bitcoin is taking its place.
On Wednesday, gold prices dived below 1500dollars per ounce and tested a minimum in the area of 1,479 dollars. Today, during the day, gold partially recovered its losses, but in the long term, analysts note a decrease in interest in the protective asset amid a decrease in the likelihood of a recession in the US economy and progress in trade negotiations with China.
Gold is losing appeal
Last week Beijing and Washington announcedabout the emerging progress in the negotiations, giving markets hope for an end to the trade conflict, which has been going on for more than a year. Gold is considered a safe haven asset and has traditionally been in demand during times of economic and geopolitical instability. However, it does not generate dividend income, so once investors realize that the danger has passed, they prefer to take their money and place it in risky but higher-yielding assets.
According to ABN Amro analysts, by the end of the year gold may fall in price to $1,400 per ounce, thereby losing a significant part of the positions gained since the beginning of the year.
Continued on the website: https://beincrypto.ru
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