While gold reached a record high value since 2012 on Tuesday, it dropped on Wednesday
The reason for the recent drop was increased trust of investors to the U.S. dollar as a safe haven.
In the first half of 2020, gold has approached the level of $1,750 per ounce, the largest value in last 8 years. Nevertheless, gold price appeared under $1,500 in first half of March. The gold rally of last weeks was caused by growing uncertainty of economy. In these cases, gold is considered as one of safe havens, where investors transfer their savings to protect them from depreciation.
Yet, gold dropped in almost 1% during Wednesday, when investors reacted on predictions that progress of the U.S. economy might not be as devastating as in had been expected. It seems that dollar has now substituted gold on the position of safe haven and the situation will probably stay similar for some time. Moreover, gold futures price has slightly dropped in June.