Both gold and silver made their biggest weekly gains in more than three months last week and has held a firm price into this week.
Geopolitical tensions and a weaker dollar has sparked fear in the previously bearish investors which has resulted in a series of short covering. Short covering occurs when investor bet on falling prices for a return but when faced with a rising price will then buy to limit their losses.
As the fed sound a dovish tone on their monetary policy coupled with on-going tensions in both Ukraine and Iraq has lead to the increase in energy prices which is said to have bumped up the gold price.