2024-04-15 16:47:20 ET
Summary
- Gold is considered the ultimate safe haven asset, providing a sense of safety in times of crisis.
- In the long run, stocks have outperformed gold, but in the short to medium term, gold can outperform the stock market.
- Geopolitical tension, central bank purchases, and changes in correlation with the dollar and interest rates are driving the current rise in gold prices.
Gold as the ultimate safe haven asset
It has been more than 50 years since gold ceased to play a crucial role in the financial system, but still today there is strong interest in this precious metal. After all, humans have been strongly attracted to it since before Christ, and millennia of history can hardly be erased in a short time.
To this day, we cannot pay in physical gold or a counterpart that has the same value, but just owning it gives us a sense of safety. We can consider it the ultimate safe haven asset, the one we would all wish to have in times of severe crisis....
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For further details see:
Gold At $3000 Per Ounce Is Possible