Gold prices reached unprecedented levels on Monday, surpassing $US5100 as investors sought refuge amid escalating international political tensions. Spot gold rose by 1.9 per cent to $US5076.43 an ounce in late morning trading in New York, after peaking at a record $US5110.50. US gold futures for February delivery also experienced gains, increasing by 1.9 per cent to $US5074.10.
Ryan McIntyre, president at Sprott Inc., noted that the surge in gold prices is sustained by persistent geopolitical and economic uncertainty. He added that central banks continue to be significant buyers as they diversify their foreign exchange reserves and reduce dependence on the US dollar.
Furthermore, McIntyre highlighted the resurgence of investor inflows into physically backed exchange-traded funds. Holdings in these funds have reportedly increased by approximately 20 per cent year-over-year. Silver and platinum also reached all-time highs, mirroring gold’s performance as precious metals continue to attract investor interest during these turbulent times.
Sprott Inc. is a global asset manager providing investors with access to precious metals, energy transition materials, and other natural resources. The company offers a range of investment products, including physical bullion trusts, managed equities, and private strategies.
