As of early 2024, gold prices have reached an all-time high of over £1,600 per troy ounce. This rise is attributed to increased global inflation, geopolitical unrest, and economic uncertainty. Gold’s status as a safe haven asset makes it attractive to investors during turbulent times, offering stability and protection against inflation, although its effectiveness can vary depending on specific economic conditions and crises.
During financial crises, gold prices typically rise as investors seek a safe haven asset. Gold is viewed as a stable investment that can protect against market turbulence, inflation, and economic uncertainty. Historical data shows that gold often outperforms other investments, such as stocks and bonds, during periods of significant financial distress.
Is this a symptom of an incoming crisis?
source: https://www.economicsobservatory.com/is-gold-a-safe-haven-for-investors
