Gold’s quiet comeback

Gold has made an unheralded, but impressive comeback this year following a 30% drop in 2013. It has risen by over 9%, beating commodities, bonds and UK equities. It hit a four-month high of around $1,340 last month as the eurozone crisis briefly flared up again. Further gains look likely over the next few years.

Gold struggled last year as the US Federal Reserve began to ‘taper’ the amount of money it was printing. The prospect of even mildly tighter US monetary policy was seen as bad news for an asset that thrives [...]

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