Relations between Britain and Russia are sliding towards a new Cold War after UK Prime Minister Theresa May accused Russia of the recent poisoning of former spy Sergei Skirpal and his daughter.
While the markets are looking complacent, they could easily crash if a war were to break out. How would gold play into this, as the ‘safety’ commodity?
My reason for throwing the spotlight on gold today — aside from a potential looming crimp in gold supplies — stems from my belief that a shooting war with North Korea is looking increasingly likely. And if so, gold, the go-to safe haven, is likely to take off.
The dangerous rhetoric flying between Washington DC and Pyongyang has reversed gold’s recent downward slide. One clear effect is the spike in the gold price. It’s now up 1.4% since last Thursday.