The gold spot price is around $1,162.00 as of December 30th 2016. The metal has recovered significant value as the Dollar falls against both the British Pound and Chinese Yuan. U.S bond yields also fell significantly.
In Europe, the banking sector sees both headwinds and challenges. The Italian government has pledged $21 billion to rescue Monte Dei Paschi and several other struggling institutions. However, higher bond yields and Trump optimism continue to buoy stocks in the sector.
The Asian economies are volatile in the midst of currency concerns and geopolitical pressures in the South China Sea. In China, the economy is looking increasingly fragile because of the historically high Dollar. The President of China has abandoned the nation's 6.5% GDP growth rate target - a figure many stopped believing in long ago - in response to these headwinds.
From the perspective of gold investors, 2017 looks like it will have a good start. There is still plenty of uncertainty in the market. A sudden correction in China or a U.S recession could send precious metals prices roaring back.
