GOLD - Gold Soars Against The Odds: Eastern Buying Spree Or 1970s Redux? Billionaire Investor David Einhorn Thinks There's A 'Secular Trend' | Benzinga
Gold has been on a remarkable rise in 2024, reaching record highs. The surge is attributed to a combination of factors, including the de-dollarization trend, central bank buying, and increased demand from the East.
What Happened: The price of gold has been soaring, despite the macro environment, which was expected to create challenges for the precious metal. Billionaire investor David Einhorn suggested a “secular trend” of Eastern countries buying gold from the West as a possible explanation for the surge, reported Business Insider.
“Perhaps the West is running out of gold it is willing to sell, while Eastern demand has remained strong enough to force the price higher,” he said.
China, the second-largest economy globally, has been particularly active in this trend, increasing its gold reserves by 16% over the past 17 months. Other countries, such as India and Singapore, have also been stockpiling gold to hedge against global economic turbulence. This increased demand has driven up the price of gold.
Ed Yardeni, an esteemed market expert, foresees the possibility of gold reaching $3,500 within the upcoming year, indicating a potential 50% increase. He compares today’s ...