That is, the reason for its rise is related to what.
5 thoughts on “Why does gold rise”
Chris
There are many reasons for the rise of gold, but the root cause of the price increase of gold is generally the supply and demand relationship. For example, the output of gold has not increased, but the people who buy gold are increasing, so that the supply and demand relationship changes, and the price of gold should naturally rise. In addition, as the financial market is uncertain, loose monetary policy will also support the rise in gold prices.
Gold prices continue to rise, what causes? After reading it, don't buy it blindly n00:00 / 01: 0670% shortcut keys: Play / suspend ESC: exit full screen ↑: increased by 10% ↓: decreases by 10% →: Single fast forward 5 seconds studio Here you can drag no longer appear in the player settings to reopen the small window shortcut key description
In the past three years, the price of gold has doubled. After some people refer to profit, the price of gold is now around $ 550/ounce. The World Gold Association is expected to rise to $ 600/ounce by the end of this year.
This I do not agree with this market, because time is difficult to predict.
This believes that the price of gold will be doubled in the next three to five years. By 2010, it will rise to $ 1,000/ounce, because the factors that promote the rise in gold prices are all.
In increase in US debt is the first factor in rising gold prices. The United States has both budget deficits (not controlled) and trade deficit; and his debt will accompany the growth of currency supply volume. And increase.
The overweight debt and inflation make the dollar a weak currency; in the next five years, the US dollar will continue to be weak. The Democratic Party won the election, which means the failure of a tightening monetary policy. The rise in gold and house prices is natural. Although gold does not generate income, it is the only asset that has both real value and can be circulated. Most assets have only one characteristic: the house has real value, but it cannot be sold immediately; the stock liquidity is good, but there is no real value as the banknote; the assets of various paper may be worthless. Gold has always been real value for three thousand years, and now gold purchasing power is still equivalent to the purchasing power of a hundred years ago. For example: In 1900, a good British farm was worth about 30 pounds per acre or 7.5 ounces of gold. The current price is about 3,000 pounds per acre, which is equivalent to 10 ounces of gold.
The second factor of gold rising is Asia's strong demand for gold jewelry. In 2005, the jewelry market used 2736 tons of gold, worth about $ 40 billion. The growth of jewelry sales is particularly obvious in India. Indians regard gold jewelry as a form of investment. It is not only an important decoration for women and a symbol of family wealth.
This does not appreciate Green Panpan. As the former Federal Reserve Chairman, he did not be cautious about the out of control of US dollar debt. As a defender of the US dollar, he condemned the terrorist to push gold to the value of commodity value. outside. There is no doubt that terrorists buy gold for political reasons. However, there is no reason to expect that terrorism will be reduced in the next five years. Unfortunately, even if the situation does not become worse, the threat of terrorism and war will exist for a long time.
The last factor affecting the skyrocketing gold is the oil market. Nigeria's turmoil shows that the oil market is not stable; any larger political or security issues in the Middle East may increase oil prices to more than $ 100 per barrel. One barrel of oil is now the same as one ounce. The author believes that if the situation of Iraq or Iran has deteriorated, the price of gold will still rise.
Although people always want to settle in their bags, these factors that support the higher price of gold exist for a long time, and the price of gold will not fall quickly. Hedge funds may even promote the increase in gold prices because they need to have the opportunity to create a large speculative wave.
therefore, the price of gold will continue to rise.
The changes in exchange rates, the operation of international speculators, the impact of the international economic environment, and even the US foreign war will cause changes in gold prices. The chain effect of this problem is great.
Because of the unstable geopolitical politics, the rise in crude oil prices, and the expected US dollar rate hike cycle is about to end, the US dollar is negative
There are many reasons for the rise of gold, but the root cause of the price increase of gold is generally the supply and demand relationship. For example, the output of gold has not increased, but the people who buy gold are increasing, so that the supply and demand relationship changes, and the price of gold should naturally rise. In addition, as the financial market is uncertain, loose monetary policy will also support the rise in gold prices.
Gold prices continue to rise, what causes? After reading it, don't buy it blindly
n00:00 / 01: 0670% shortcut keys: Play / suspend ESC: exit full screen ↑: increased by 10% ↓: decreases by 10% →: Single fast forward 5 seconds studio Here you can drag no longer appear in the player settings to reopen the small window shortcut key description
In the past three years, the price of gold has doubled. After some people refer to profit, the price of gold is now around $ 550/ounce. The World Gold Association is expected to rise to $ 600/ounce by the end of this year.
This I do not agree with this market, because time is difficult to predict.
This believes that the price of gold will be doubled in the next three to five years. By 2010, it will rise to $ 1,000/ounce, because the factors that promote the rise in gold prices are all.
In increase in US debt is the first factor in rising gold prices. The United States has both budget deficits (not controlled) and trade deficit; and his debt will accompany the growth of currency supply volume. And increase.
The overweight debt and inflation make the dollar a weak currency; in the next five years, the US dollar will continue to be weak. The Democratic Party won the election, which means the failure of a tightening monetary policy. The rise in gold and house prices is natural. Although gold does not generate income, it is the only asset that has both real value and can be circulated. Most assets have only one characteristic: the house has real value, but it cannot be sold immediately; the stock liquidity is good, but there is no real value as the banknote; the assets of various paper may be worthless. Gold has always been real value for three thousand years, and now gold purchasing power is still equivalent to the purchasing power of a hundred years ago. For example: In 1900, a good British farm was worth about 30 pounds per acre or 7.5 ounces of gold. The current price is about 3,000 pounds per acre, which is equivalent to 10 ounces of gold.
The second factor of gold rising is Asia's strong demand for gold jewelry. In 2005, the jewelry market used 2736 tons of gold, worth about $ 40 billion. The growth of jewelry sales is particularly obvious in India. Indians regard gold jewelry as a form of investment. It is not only an important decoration for women and a symbol of family wealth.
This does not appreciate Green Panpan. As the former Federal Reserve Chairman, he did not be cautious about the out of control of US dollar debt. As a defender of the US dollar, he condemned the terrorist to push gold to the value of commodity value. outside. There is no doubt that terrorists buy gold for political reasons. However, there is no reason to expect that terrorism will be reduced in the next five years. Unfortunately, even if the situation does not become worse, the threat of terrorism and war will exist for a long time.
The last factor affecting the skyrocketing gold is the oil market. Nigeria's turmoil shows that the oil market is not stable; any larger political or security issues in the Middle East may increase oil prices to more than $ 100 per barrel. One barrel of oil is now the same as one ounce. The author believes that if the situation of Iraq or Iran has deteriorated, the price of gold will still rise.
Although people always want to settle in their bags, these factors that support the higher price of gold exist for a long time, and the price of gold will not fall quickly. Hedge funds may even promote the increase in gold prices because they need to have the opportunity to create a large speculative wave.
therefore, the price of gold will continue to rise.
The changes in exchange rates, the operation of international speculators, the impact of the international economic environment, and even the US foreign war will cause changes in gold prices. The chain effect of this problem is great.
Because of the unstable geopolitical politics, the rise in crude oil prices, and the expected US dollar rate hike cycle is about to end, the US dollar is negative