Exploring Reasons Behind the Sharp Rise in Gold Prices – Econofact

In recent times, the price of gold has seen an extraordinary surge. A multitude of factors contribute to this sharp rise. A key factor is the widespread economic uncertainty fueled by events such as the ongoing global pandemic and geopolitical tensions. As traditional fiat currencies face potential devaluation, the intrinsic value of gold becomes more appealing. Moreover, gold is widely regarded as a ‘safe haven’ during turbulent times, solidifying its demand. Last but not least, the plummeting interest rates reduce the opportunity cost of holding non-yielding bullion, thereby incentivizing the investors to opt for gold. Together, these elements have contributed to the sharp uptick in the gold price. Read More