Gold was holding just above the $3,000 an ounce mark early Monday after breaking the mark for the first time last week. There are reasons to think its surge can keep going.
“The main question is whether the rally will continue. We think so, as long as policy risks and an intensifying trade conflict continues to spur safe-haven demand,” UBS analyst Wayne Gordon wrote in a research note on Monday.
UBS has raised its price target on the precious metal to $3,200 an ounce from $3,000 previously, noting renewed inflows into exchange-traded funds that hold gold and continued central-bank buying.