When the Fed raised interest rates last December, many believed gold would plunge. But it didn’t happen.
***
Gold bottomed the day after the rate hike, but then started moving higher again.
Incidentally, the same thing happened after the Fed tightened in December 2015. Gold had one of its best quarters in 20 years in the first quarter of 2016. So it was very interesting to see gold going up despite headwinds from the Fed.
Meanwhile, gold has more than held its own this year.
This post was published at Zero Hedge on Nov 16, 2017.