A perfect storm for the gold price

The gold price has suffered a steep decline as investors' appetite for risk has risen.

The gold price has suffered one of its sharpest declines in years, says Andrew Critchlow in The Daily Telegraph. It sank by almost 6% last week to a four-year low below $1,170 an ounce. The yellow metal faces "a perfect storm", says Capital Economics.

Demand for a safe haven has fallen for several reasons, notably strong US growth. GDP expanded by a stronger-than-expected 3.5% in the third quarter and a weekly tally of claims for unemployment benefits slipped to a 14-year low.

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Andrew Van Sickle
Editor, MoneyWeek

Andrew is the editor of MoneyWeek magazine. He grew up in Vienna and studied at the University of St Andrews, where he gained a first-class MA in geography & international relations.

After graduating he began to contribute to the foreign page of The Week and soon afterwards joined MoneyWeek at its inception in October 2000. He helped Merryn Somerset Webb establish it as Britain’s best-selling financial magazine, contributing to every section of the publication and specialising in macroeconomics and stockmarkets, before going part-time.

His freelance projects have included a 2009 relaunch of The Pharma Letter, where he covered corporate news and political developments in the German pharmaceuticals market for two years, and a multiyear stint as deputy editor of the Barclays account at Redwood, a marketing agency.

Andrew has been editing MoneyWeek since 2018, and continues to specialise in investment and news in German-speaking countries owing to his fluent command of the language.