The continuing rise in gold prices, which recently reached an all-time high, is due to global instability and inflation. The newspaper reports this “News”.
The price of gold has risen sharply over the last few trading sessions. Experts point out that the rapid increase in the value of the precious metal occurred without a serious catalyst. However, in unstable periods, the demand for gold always increases. Currently, the tense situation in Ukraine continues, clashes continue in the Palestinian-Israeli conflict zone, and relations between China and Taiwan cause concern.
In addition to geopolitical instability, rising inflation expectations, expectations that interest rates will decrease in the USA and the Eurozone, and disruptions in global shipping are also responsible for the rise in gold prices.
According to experts, the active increase in quotes may be due to the fear of possible volatility associated with the election cycle, especially in the USA. The expectation that monetary policy will be loosened in the USA and the Eurozone will inevitably lead to a weakening of the dollar and euro. The result of this is an increase in the demand for gold.
Before reportedIt was stated that gold prices reached a new historical peak at the auction held in New York and exceeded 2.15 thousand dollars per ounce for the first time in history.
Former investment strategists guess There will be an increase in the price of gold until the end of 2024.