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Israel conflict decisive for gold price

(PresseBox) (Herisau, )
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First the gold price weakened, then the surprising start of the war caused gold prices to rise.

Gold, the safe haven, once again lived up to its name. Gold became attractive and attracted many buyers. Previously, rising interest rates, a strong U.S. dollar and the threat of recession put pressure on the price of the precious metal. Now it will be particularly significant whether the conflict will spread to other nations and to the USA. If this were to happen, then rising debt levels due to additional government spending would be expected. The restrictive monetary policy would come to an end. The market has priced all this in. If further developments in the war in Israel now lead to an expansion and influence on other nations, then high interest rates, a strong U.S. dollar and the threat of deflation should take more of a back seat. The bullish factors would prevail and strengthen the price of the precious metal. If the conflict does not expand, then it could go with the gold price again rather in the direction of the north.

If you think about the war in Ukraine, the price of gold rose quickly, but then fell again in subsequent months. This is because the Russia-Ukraine conflict did not extend globally. Today, investors do not seem to want to miss a rally in the gold market. However, if the situation in the Middle East becomes calmer, there is a threat of an interim downtrend in the gold price. Gold investments, however, should be viewed as longer-term investments. It is better to rely on the value preservation function of gold with a longer investment horizon than to chase trends. Gold company values should also be included in gold investments.

A gold producer that has been successful for years is Caledonia Mining - https://www.commodity-tv.com/ondemand/companies/profil/caledonia-mining-corporation-plc/ - with its Blanket mine in Zimbabwe. The last quarter brought the company a record gold production of almost 22,000 ounces of gold.

Gold Terra Resource - https://www.commodity-tv.com/ondemand/companies/profil/gold-terra-resource-corp/ - has one of the largest and highest-grade gold deposits in Canada at its Yellowknife Gold Project in the Northwest Territories.

Current corporate information and press releases from Gold Terra Resource (- https://www.resource-capital.ch/en/companies/karora-resources-inc/ -) and Caledonia Mining (- https://www.resource-capital.ch/en/companies/caledonia-mining-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/

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The publisher indicated in each case (see company info by clicking on image/title or company info in the right-hand column) is solely responsible for the stories above, the event or job offer shown and for the image and audio material displayed. As a rule, the publisher is also the author of the texts and the attached image, audio and information material. The use of information published here is generally free of charge for personal information and editorial processing. Please clarify any copyright issues with the stated publisher before further use. In case of publication, please send a specimen copy to service@pressebox.de.