Global Gold & Oil Market Trends!

Follow Global Energy & Commodities Markets on Areas & Producers

Photo by on

Gold continues to be bought by central banks around the globe!

There are essentially three market drivers for the rising gold prices this year: safe-haven demand against US inflation, gold exchange traded funds (ETFs) and central-bank purchases of physical gold bars. The latter is significant to geopolitical trends because it shows how seriously the world is taking the USD currency’s uncertainty as the world’s reserve currency in the future.

• Gold prices continue to reach historical highs, while gold equities continue to underperform, which is why the rising gold ETF inflows could be a game-changer for gold mining stocks.
• Turkey, India, and of course China, have been the main buyers of gold from the central bank perspective. Poland and Kazakhstan appear to be the newcomers to the gold storylines. China and Russia are likely to keep boosting gold output, and thus boosting their overall reserves in the central banks.
• Gold mining investments— and thus capital ventures in the gold space — are going to pick up speed to meet all of this demand in the near-term. As for the long term, I have no idea what’s going to happen with the USD as the world’s…