Gold’s resurgence continues with six-week high

<p>The value of gold is bouncing back in 2014.</p>

The price of gold has continued to bounce back in 2014, reaching a new six-week high earlier in the week.

Last year saw the value of the precious metal slip by almost a third as investors lost faith in the commodity's reputation as a safe haven.

With stock markets around the world recovering from the recession, gold was pushed to the margins, but it has held close to the new six-week high today (January 21st).

Joyce Liu, an investment analyst at Phillip Futures, told Reuters that the value of gold is going to be tied to the decision of the Federal Open Market Committee (FOMC) in the US.

Spot gold was down slightly at $1,252 (£762) an ounce by 04:02 GMT, falling away slightly from the six-week peak of $1,259.85 hit earlier in the week, while platinum was 0.3 per cent down at $1,458.

Ms Liu previously suggested that the price of gold could be set to continue rising to as high as $1,267.

Find out about commodities trading and learn CFD strategies at City Index

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.