Gold’s record-setting rally above $US2500 an ounce looks to have further to run as the US Federal Reserve prepares to chop rates, traditional drivers such as lower yields return, and Western investors pile back into the precious metal.
“Everybody thought the Fed was going to be the last to cut, but now they’re getting in line,” said Jay Hatfield, chief executive of Infrastructure Capital Advisors, who recently went long on gold options for the first time in years.