Gold Price unmoved by London terror attack

Photo credit: Gordon Wrigley. Edited with TVScanline effect

Yesterday saw a terrorist attack on the British Parliament. An, as yet unnamed, assailant ran over numerous people on Westminster bridge before stabbing and killing a police officer in the grounds of the palace of Westminster. The attacker was shot and died from his injuries; the total death toll currently amounts to five.

There has been no discernable impact on economic matters, however, as people digest the information and go back to their normal lives. In a statement from Downing Street, Prime Minister Theresa May said “Parliament will meet as normal. We will come together as normal. And Londonersand others from around the world who have come here to visit this great citywill get up and go about their day as normal.”

The gold price has settled slightly lower, having peaked on Wednesday amid fears that Trump’s economic plan will not deliver the goods. The Indian Economic Times reported that “Spot gold was down 0.1 per cent at $1,247.30 per ounce at 0725 GMT. On Wednesday, it touched its strongest since Feb. 28 at $1,251.26.”

The stock market started to feel uneasy about Trump’s spending proposals after recent opposition to his healthcare plan prompted questions about his ability to pass legislation. This started a slump starting from Tuesday, with U.S. equities, with the S&P 500 index SPX, +0.19%  and the Dow Jones Industrial Average DJIA, -0.03%,  suffering their worst daily losses in months.

Marketwatch reported that the US Dollar, as measured by the ICE U.S. Dollar Index DXY, -0.02% has lost 0.7% so far this week, and traded 0.2% lower Wednesday.

Stocks have gone down across the board, apart from gold mines, as longer term prospects for the safe haven look good. Mining.com reported that the “counters that received a double benefit from a rising gold price and strengthening domestic currencies against the US dollar enjoyed the most gains,” and that “New York-listed equities of South Africa’s Sibanye Gold and Gold Fields are showing gains of over 15% or more, while Canadian producers are honing in on double digit post-Fed gains should the metal’s run continue.”

Link to this article: : http://www.goldmadesimplenews.com/gold/gold-price-largely-unaffected-by-london-terror-attack-13034/

Posted by on Mar 23 2017. Filed under Gold News, Mining. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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