Brits who want their wealth in a haven like gold ahead of the Brexit vote will find themselves paying the most in almost three years.
With the U.K. approaching a referendum on whether it will exit the European Union, gold priced in sterling has soared 8.5 percent this month and touched 911.05 pounds ($1,287.04) Tuesday. That’s the highest level since August 2013. The metal is becoming more expensive as the pound fell to a two-month low. Four polls from three companies put the ‘Leave’ campaign ahead, and the Sun, Britain’s best-selling newspaper, backed a Brexit on its front page.
“There’s a lot of concern here about the Brexit,” Phil Streible, a senior market strategist at RJO Futures in Chicago, said in a telephone interview. “The pound is going to be one of the riskiest trades to make.”
Gold priced in dollars, the global benchmark, increased 0.2 percent to $1,290 an ounce on the Comex in New York at 10:04 a.m., heading for a fifth straight gain.
Holdings in gold-backed exchange-traded funds rose by 2.85 metric tons to 1,876.7 tons as of Monday, the highest level since October 2013, data compiled by Bloomberg show. Assets have risen for 10 straight days.
Holdings in silver ETFs have increased for 11 days and are just short of a record high, which was 20,182 tons set in October 2014.
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