Gold price at record high: crises and tariffs drive investors crazy!

Gold price at record high: crises and tariffs drive investors crazy!

London, Großbritannien - The gold price today experienced a sudden increase and reached almost $ 3,148 per troy ounce (31.1 grams) in the early trade on the London stock exchange. This price increase of 0.8 percent marks a significant point, since the gold price exceeded the $ 3,100 mark on Monday. So far, the precious metal has already experienced an increase in value of 20 percent this year after it has increased by almost 50 percent in the past three years. The essential drivers of this increase are geopolitical uncertainties and the aggressive customs policy of the United States, such as Kosmo reported.

President Donald Trump has clearly explained that the planned tariffs could have an impact on all countries. These impending trade restrictions increase uncertainty in the markets and lead to a destabilizing influence on the economy. Furthermore, the persistent tensions, in particular the stagnating progress in the ceasefire negotiations in the Ukraine conflict and the escalation of the conflicts in the Middle East through increased Israeli ground attacks in the Gaza Strip, are other factors that heat up the gold price. In these turbulent times, gold is increasingly seen as a safe port, as well as Watson

geopolitical tensions and their consequences

geopolitical conflicts, such as the current arguments between Israel and Hamas as well as the diffuse location in Ukraine, have a direct impact on the prices of gold. The gold market reacts strongly to such crises; Historians are reminiscent of the fact that gold was always considered a stable value in crisis, such as the subprime crisis 2008 or the euro crisis in 2010. Investors tend to search for security and invest in turbulent times preferably in gold to secure their assets.

In addition to the geopolitical factors, monetary policy plays a crucial role. Interest rate changes from the US Federal Reserve and the European Central Bank influence the behavior of investors on the market. Lower interest rates make gold more attractive because the opportunities for holding gold decrease. A Analysis of Goldmarket points out that monetary policy and the interrelation between the US dollar and gold are closely linked. A weaker dollar can increase the price of gold, which is particularly relevant in times of geopolitical uncertainties.

The recent events show that the demand for gold is still strong, despite initially stabilizing inflation worldwide. Dealers and investors consider gold to be an indispensable asset, while geopolitical risks and economic uncertainties continue to hang over the markets. The development of gold prices therefore remains an important indicator of global economic stability in the near future.