Recently, gold prices have been gaining in value due to the news flow. As a rule, the precious metal soars when dark clouds are hanging over the global economy. If economic problems are accompanied by political uncertainties, gold prices may even skyrocket.
At the moment, there is a bulk of negative news that boosts the price of the troy ounce. The announcement about a pause in trials of the US vaccine against the coronavirus became one of the recent drivers of higher gold prices. In the middle of October, Johnson & Johnson suspended its clinical trials after one participant caught an unknown disease. Thus, amid growing uncertainties gold is confidently moving up as one of the safest assets. In fact, risks support the precious metal. However, traders should remember that gold may start losing in value amid news about the successful development of the vaccine by Western countries.
