Ukraine crisis testing gold’s safe-haven status
By Sri Jegarajah
Continued liquidation in gold-backed exchange-traded funds amid signs of an improving U.S. economy may undermine gold’s recent safe-haven gains which helped bullion to three-week highs above $1,300 an ounce, CNBC’s weekly sentiment survey showed.
Still, gold bulls maintained that the markets were underestimating the risks of a worsening crisis in Ukraine.
“I’m slightly bullish as I believe Ukraine is unpredictable,” said Edmund Moy, former director of the U.S. Mint. He added that investors also fear a May correction in U.S. stock markets.
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