Investors appreciate the value-preserving function. Central banks buy it for hedging purposes.
Gold has maintained its value for thousands of years, while fiat currencies lose value. In 2023, central banks bought 1,037 tons of gold. That was only 45 tons less than in the decades-long record year of 2022. The biggest buyer is, unsurprisingly, China. And analysts at ANZ Bank, for example, expect the central bank gold rush to continue in the coming years. Gold cushions inflation. This is because the price of gold generally rises in line with the cost of living. Inflation is now falling, but food and fuel (two items that are not included in the core inflation data) are still at a high level. Looking back, there were significant increases in the price of gold when the US bombed Libya in 1986. Or during the 1970s, when there were tensions in the Middle East, such as the Soviet invasion of Afghanistan.
There are various sources of crisis and tension today, which is another reason why gold is shining so brightly. Gold is seen as insurance against disasters. Central banks are reducing their dollar holdings and prefer to rely on gold. According to US data, Chinese dollar holdings, for example, have fallen by a third bit by bit since 2011. China and India are the largest consumers of gold. Gold plays a major role there and people like to buy gold jewelry. The crisis in China's real estate market will probably push even more people towards gold. In addition, China's middle class is becoming increasingly wealthy and is also growing. Investors can profit from the high gold price with physical gold or with companies with promising gold projects.
Take OceanaGold - https://www.commodity-tv.com/ondemand/companies/profil/oceanagold-corp/ -, for example, a growing gold producer with four gold mines. These are located in the USA, the Philippines and New Zealand. OceanaGold also has strategic investments and holdings in two exploration companies.
Victoria Gold - https://www.commodity-tv.com/ondemand/companies/profil/victoria-gold-corp/ - anticipates gold production of 165,000 to 185,000 ounces of gold from its Eagle Gold Mine in the Yukon for the current year.
Current company information and press releases from Victoria Gold (- https://www.resource-capital.ch/en/companies/victoria-gold-corp/ -) and OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/.
Gold has maintained its value for thousands of years, while fiat currencies lose value. In 2023, central banks bought 1,037 tons of gold. That was only 45 tons less than in the decades-long record year of 2022. The biggest buyer is, unsurprisingly, China. And analysts at ANZ Bank, for example, expect the central bank gold rush to continue in the coming years. Gold cushions inflation. This is because the price of gold generally rises in line with the cost of living. Inflation is now falling, but food and fuel (two items that are not included in the core inflation data) are still at a high level. Looking back, there were significant increases in the price of gold when the US bombed Libya in 1986. Or during the 1970s, when there were tensions in the Middle East, such as the Soviet invasion of Afghanistan.
There are various sources of crisis and tension today, which is another reason why gold is shining so brightly. Gold is seen as insurance against disasters. Central banks are reducing their dollar holdings and prefer to rely on gold. According to US data, Chinese dollar holdings, for example, have fallen by a third bit by bit since 2011. China and India are the largest consumers of gold. Gold plays a major role there and people like to buy gold jewelry. The crisis in China's real estate market will probably push even more people towards gold. In addition, China's middle class is becoming increasingly wealthy and is also growing. Investors can profit from the high gold price with physical gold or with companies with promising gold projects.
Take OceanaGold - https://www.commodity-tv.com/ondemand/companies/profil/oceanagold-corp/ -, for example, a growing gold producer with four gold mines. These are located in the USA, the Philippines and New Zealand. OceanaGold also has strategic investments and holdings in two exploration companies.
Victoria Gold - https://www.commodity-tv.com/ondemand/companies/profil/victoria-gold-corp/ - anticipates gold production of 165,000 to 185,000 ounces of gold from its Eagle Gold Mine in the Yukon for the current year.
Current company information and press releases from Victoria Gold (- https://www.resource-capital.ch/en/companies/victoria-gold-corp/ -) and OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/.
