Gold price rises as investors seek havens

Washington (Jun 17)  THE US Federal Reserve's dovish coos on Wednesday helped gold to smash through the  $1,300  mark for the first time since early May.

Spot gold swelled 1.3 per cent to  $1,308.1  per ounce yesterday, hav-ing touched its highest level since  August 2014  at  $1,313.60  earlier.

US gold added 1.8 per cent to  $1,311.30  , after hitting its highest selling point since last August at 1,316.80.

It came after the Fed kept inter-est rates unchanged and said it still plans to hike rates twice this year, but cautioned slower economic growth would crimp the pace of monetary policy tightening in future.

Uncertainty about the impact of Brexit following next week's referendum also sent worried investors flocking to the safe haven asset.

 Naeem Aslam  , chief market analyst at Think Forex, said: "Brex-it fear and the doubts about the credibility of central banks strat-egies is pushing the precious metal higher today."

Source: Reuters