"Gold surged over $4,000/oz, up 50% this year, driven by investor fears over government debt, a weaker dollar, a buying spree by China's central bank, and concerns the AI stock boom may collapse. With the U.S. shutdown set to continue, investor uncertainty is likely to push the price higher still. Gold broke a new record yesterday, cresting at over $4,000 per troy ounce. It was sitting at $4,055.30 this morning on Comex's continuous contract index. It's up more than 50% for the year."
"At first glance, this makes no sense. Gold is traditionally a safe-haven asset that investors run to when times get tough. But U.S. GDP growth is robust, unemployment is low, and the S&P 500 is posting daily record highs. All of that looks like the best of times, not the worst of times. So why is gold going through the roof? Several factors are pushing the price higher:"
Gold has risen above $4,000 per ounce and is up over 50% year-to-date because multiple macro and market dynamics are boosting demand. High government debt levels in the U.S., U.K., Europe, and Japan have reduced confidence in bonds and shifted some investors into gold. The U.S. government shutdown has amplified political and dollar risk, increasing safe-haven demand. The People's Bank of China has been consistently buying gold to diversify reserves away from the U.S. dollar. Fears of an AI-driven stock bubble and a weaker dollar have also pushed investors toward gold, suggesting further upside risk amid uncertainty.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]