What will happen with Gold in eventual war between North Korea and the USA

Gold has been on a nice run of late, and one shouldn't expect it to end anytime soon.

North Korea's actions, including a reportedly new missile launch on Friday, makes gold like a solid buy here.

"The bigger picture, the one I'm looking at, is that gold hit an interim low on Dec. 15 and it has been grinding higher ever since. It's one of the best performing assets of 2017,' markets expert Jim Rickards said in an interview. He added that gold could eventually touch $10,000 an ounce.

"People seem to have very short attention spans. I'm just looking down the road and you can see the war is coming," he said.

If Gold is really capable of reaching the spectacular $10,000 per ounce is really hard to say. However it is a fact, that a war between USA and North Korea will lead to a dramatic increase in the precious metal, as it will be one of the top choices for investors as hedge.

Another key factor, that Gold can benefit from is the crash of bitcoin. After the Chinese government forbid the cryptocurrency trade, a big part of the money flow will come back to the asset.

Source: Bloomberg Pro Terminal

Jr Trader Alexander Kumanov

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