What Happens To Gold If U.S. Pulls Out Of Iran Deal?
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
What would be the impact on gold if the U.S. pulls out of the Iran deal? The simple answer is nothing, as gold has not benefitted from the talks, threats and possibilities. Today at 2 p.m. EDT, President Trump will announce to the world his decision, which should be that we are pulling out of the deal with Iran.
Throughout the talks, oil has been spiking higher while gold has struggled and sold off. Most thought that gold should have rallied through this uncertainty, but it hasn’t. Gold has sold off from $1,365 and appears to be under pressure. The current action suggests that gold is headed lower.
Add to the mix the exploding dollar and you have a recipe for gold to go to $1,280 and now possibly $1,240. To quote the Duke Brothers from the movie Trading Places, “that can’t be right.” Of course it is right, and the gold market looks to be headed lower.
Keep those stops tight.