Despite the second slam in as many days into the London Fix…
Gold is trading near the highest in five months, and, as Bloomberg notes, at least one measure suggests the rally is gaining momentum.
Open interest, a tally of outstanding contracts in Comex futures, this week climbed to the highest since January as global tensions ranging from the U.S.-North Korea rift to European elections fuel demand for haven assets.
“The open interest went up because we had people that wanted to protect themselves against all the uncertainty,” said Frank Cholly, a senior market strategist at RJO Futures in Chicago.
“Everything has gotten really tense in geopolitics – it’s a powder keg right now.”
This post originally appeared on Zero Hedge