Daily Gold Market Report
No DGMR today. Below is Wednesday’s report.
Gold trades higher reflecting the high degree of uncertainty in investment markets
This morning’s Financial Times features ‘The New Gold Boom: How Long Will It Last?’
(USAGOLD –5/24/2023) – Gold is trading higher in the early going as markets continued to reflect a high degree of uncertainty about the debt ceiling and the general direction of the economy and investment markets. It is up $7 at $1984.50. Silver is up 1¢ at $23.49. It was a pleasant surprise to come across a feature article in this morning’s Financial Times under the provocative headline – “The New Gold Boom: How Long Will It Last?” Ashok Sewnarian, who manages a bulging private vaulting facility in London, sets the stage by saying clients “have a growing alertness to the new world order.… We have mistrust in the banks, huge inflation, and a global divide on reserve currencies.”
Citing “a rush to gold by the global elite,” FT goes on to say that “the revival in gold’s fortunes has central bank officials, fund managers and retail investors wondering whether the world is on the precipice of a new gilded period. Some forecasters reckon gold could escalate towards its real record high of nearly $3,300 per troy ounce in today’s dollars, set in 1980 when oil-driven inflation and turmoil in the Middle East capped a nine-year bull run unleashed by US president Richard Nixon cutting off the dollar from bullion.” The full article is highly recommended.
Inflation-adjusted price of gold
Chart courtesy of GoldChartsRUs • • • Click to enlarge