Gold Price Analysis: XAU/USD surges to new weekly highs amid California's coronavirus emergency
|Gold prices are on the rise again. The safe-haven asset is responding to a worsening market mood amid the coronavirus crisis. The US state of California – home to Silicon Valley – has declared a state of emergency after confirming the first death from the disease. Moreover, the virus is spreading all over the world and causing disruptions.
After a spell of calm and a rate cut by the Fed, the precious metal is on the rise again. IT is trading around $1,64, the highest this week.
The next level is $1,660, then the temporary high support at $1,670, and then the seven-year high of $1,689.
Support awaits at $1,635, followed by $1,625.
The Federal Reserve surprised markets this week with a double-dose rate ut of 50 basis points on Tuesday. Bond markets are pricing in another cut in the upcoming scheduled event on March 18.
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