Gold prices are going up despite the strong dollar. By the time of writing, the precious metal was trading at $1,875 and is clearly heading for $1,885, from which the road to $1,900 will be open.
Right now, there is only way for gold to move, and that’s up, since the prospects of rising US inflation have frightened even the most desperate market participants. Inflation-linked dollar funds are yielding negative returns, and the precious metal is outperforming against this backdrop. So as long as the Fed shows no signs of changing in its policy stance given the highest pace of inflation in 30 years, gold will likely continue to rise.
In this case, the bullish trend for the dollar is not holding back gold. But this is an exception to the rule.
Following gold, silver ($26 target price) and platinum ($1,150 target price) are also going strong.