Gold Climbs for Third Day After Safe Haven Demand

Gold climbed for a third day, set for the longest run of gains in two weeks, as slumping equity markets and political uncertainty in Greece spurred demand for a haven.

The U.S. Mint sold 42,000 ounces of gold coins so far this month compared with 18,000 ounces in all of December. In China, the largest consumer, volumes for the benchmark spot contract on the Shanghai Gold Exchange rose today to the highest level since Dec. 18.

European policy makers are focused on the fate of Greece, which triggered the region’s sovereign-debt crisis in 2009, as campaigning begins for a Jan. 25 election that Prime Minister Antonis Samaras said may lead to an exit from the 19-member euro zone region should the opposition anti-austerity Syriza alliance win. The euro traded near an almost nine-year low.

via Bloomberg

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza