Gold prices are also being pushed higher by aggressive monetary stimulus measures adopted by many central banks around the world since the pandemic plunged the global economy into a recession [File: Andreas Gebert/Bloomberg]
NBC: Gold prices surge to record high amid coronavirus worries, U.S.-China tensionsThe new spot gold price eclipses the previous record high price, set in September 2011.
The price of gold has hit a record high, reaching $1,943 an ounce, as worries over issues such as the coronavirus pandemic as well as U.S.-China tensions weighed on investor sentiment.
The spot gold price eclipses the previous record high price set in September 2011.
“While we think gold will continue to be supported by rising geopolitical tensions, in our view the primary drivers of the gold price are its negative correlation to real interest rates and the dollar,” UBS chief investment officer Mark Haefele told clients Monday.
The moves in prices of the precious metal came as tensions have been heating up between Washington and Beijing. China announced on Friday that it ordered the United States to shut its consulate in Chengdu, following the U.S. demanding the closure of the Chinese consulate in Houston.
Read more ….
Update #1: Gold hits record, equities edge higher on stimulus hopes (Reuters)
Update #2: Gold price hits record high amid fears over coronavirus crisis (The Guardian)
WNU Editor: When you look at the money that is being printed and/or borrowed. Cities going bankrupt. Mass unemployment. Looming record-breaking bankruptcies. A massive pension crisis just around the corner. It is not a surprise that people are rushing to safe havens. In my case I have been buying silver since the start of the pandemic.