Gold posted its biggest monthly gain in 3 years in January.
Gold started 2015 at $1,185 per ounce and ended at $1,278/oz, this is a rise of 6.5% so far this year and gold managed to put in a monthly high of over $1,300/oz.
We saw a late rally towards the end of last week as fears mounted that the Federal reserve will have to hold back a bit longer on raising interest rates as weak growth from other economies will be a drag on American growth.
On January 29th (last Thursday) gold tumbled nearly 2.5% after the Federal reserve came out with some bullish talk on the US economy and the labour market
The weak economic figures released in the US on Friday helped revived fears that Europe and Asia are going to hold back American growth, so then we saw a nearly 2% rise in gold.
January has certainly been an eventful month, with the big events being:
Continued drop in Oil price.
Swiss franc peg against the Euro abandoned.
ECB announces $1.4 trillion of QE.
Greek election results.
When will the snowflake fall that causes the avalanche?