A possible US default supports gold's price
Tuesday came and went in the United States without any progress in another round of debt ceiling negotiations between the president and the Republican majority in the House of Representatives.
Tuesday came and went in the United States without any progress in another round of debt ceiling negotiations between the president and the Republican majority in the House of Representatives. The possibility of a sovereign default is decreasing investors' risk appetite and increasing demand for defensive assets. That's why, despite hawkish statements from Fed representatives, the price of gold isn't heading down. It's very likely that it will return to $2000 per ounce.
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