Gold hits 28-month high as UBS calls "new bull run"

Jessica Morris
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Bull markets suggest prices are expected to rise (Source: Getty)

Gold prices soared to their highest level since 2014 today, as investment bank UBS called a new bull run for the precious metal.

Spot gold touched a more than two-year high in early morning trading, and was last up 0.65 per cent to $1,365.22 an ounce. It surpassed the $1,358.20 mark hit on 24 June in the immediate aftermath of the Brexit vote.

Meanwhile, US gold swelled 0.74 per cent to $1,368.80.

Read more: Mixed fortunes for London-listed miners amid Brexit vote fallout

UBS strategist Joni Teves and her team hiked their gold price forecasts for this year right through to 2020. They argued that the precious metal had likely entered the early stages of the next bull-run, in which prices are expected to rise.

"Gold has likely entered the early stages of the next bull run ... this trend should now deepen, attracting more participants and encouraging those who have been hesitating to get more involved," they wrote in a report.

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