Iran banned from trading precious metals

Gold’s London AM fix this morning was USD 1,675.00, GBP 1,076.55, and EUR 1,294.94 per ounce.

Friday's AM fix was USD 1,646.00, GBP 1,064.68, and EUR 1,274.29 per ounce.

Gold has risen in all currencies today and bullion up nearly 1 % to $1,675/oz. Gold rose 1.7% last week and has risen more than 6% so far this year.

The yellow metal jumped to its highest level in more than a month as result of the uncertainty over of the Greek debt outcome and the growing geopolitical tensions with Iran.

The Iranian geopolitical tension is supporting gold as Britain, America and France have delivered a clear message to Iran, sending six warships led by a 100,000 ton aircraft carrier through the highly sensitive Strait of Hormuz.

Reuters report that the EU has agreed to freeze the assets of the Iranian central bank and ban all trade in gold and other precious metals with the Iranian Central Bank and other public bodies in Iran. According to IMF data, at the last official count (in 1996), Iran had reserves of just over 168 tonnes of gold. The Financial Times reported in March 2011 that Iran had bought large amounts of bullion on the international market to diversify away from the dollar, citing a senior Bank of England official. Currency wars continue and are deepening.

Iran Banned from Trading Precious Metals

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