Uncertain economic outlook can be seen driving up interest in safer stores of value such as gold and the Japanese yen. Gold prices rose Monday across different currency denominations, signaling broad market strength. Gold was on Monday on course to hit $1,300 an ounce.

Although it recently seemed that the U.S. central bank was soon going to raise interest rates, market expectation of rate hikes coming soon appear to be fading. In the meantime, investors appear to be putting their money in the perceived safe havens. As such, gold prices are showing strength across markets.

Spot gold price jumped $1,254.06 per ounce on Monday, reaching its highest price level since March 22. Analysts see gold prices rising further as central banks become more cautious about raising interest rates. In Europe, the European Central Bank sweetened its bond purchase program and might perform more easy measures.

In the U.S., the Fed’s rate adjustment move is increasingly becoming difficult to predict. Officials have been warning that the agency should be more cautious and slow at hiking interest rates. But that only paints the picture of a fragile economy in the eyes of investors, who are running for cover in gold and other safe havens.

While the dollar denominated gold price was seen approaching $1,300, the Europe denominated gold prices were see in the vicinity of 1,100 euro mark.

Safe haven yen gains ground

The other safe store of value whose price edged up in Monday’s trading was the Japanese yen. But Japanese officials said they would consider weakening the domestic currency’s exchange rate.

Loose monetary policy encourages bullion investment

When monetary policies are lax, gold prices tend to be strong. But when monetary policies are tightened, gold seems to compete against other investments, thus hurting the price of the previous metal.

Other precious metals

The precious metals also gained ground in Monday’s trading. Silver rose 1% to $15.47 per ounce and platinum jumped 1.5% to $971.99.