Gold price to EUR 60,050 per kilogram

Last week we already wrote about the gold price being on the rise due to the conflict in the Middle East. This weekend, the gold price recorded a new record, one kilo of gold then cost €60,050 per kilo.

Precious metals, especially gold, are in demand by investors as a safe haven in economically uncertain times. The gold price's last record in US dollars comes from August 2020 - in the midst of the corona pandemic. The gold price then stood at over $2,075 per troy ounce.
Countries such as China, Russia, Poland and Turkey have exchanged their US dollars for gold in recent years. Added to this was the banking crisis in the United States early this year, the war in Ukraine and the current conflict in the Middle East.

Gold cannot topple like a national currency. Also, gold has the unique ability to retain its value even in times of economic uncertainty and inflation. In addition, gold acts as an inflation hedge; in times of monetary depreciation, gold often retains its purchasing power and can even increase in value. Finally, gold also has no counterparty risk if you buy it physically. You are not dependent on a financial institution, as you own your gold yourself.

Conclusion

The gold price is at a new record high, this due to the conflict in the Middle East. Normally, the gold price would fall in times of rising interest rates, however, there is a lot of unrest - both economic and geopolitical - causing the gold price to rise. Investors worldwide are choosing gold as a safe haven.
Disclaimer: The Silver Mountain does not provide investment advice and therefore this article should not be considered as such. Past results do not guarantee future results.
 

Sources

Editorial Baaz. Rising gold price ticks record. Baaz, 2023.
Record price of over €60,000 for kilo of gold. Telegraaf, 2023.
Economy editors. Gold price breaks new record due to economic uncertainty among investors. NU.nl, 2023.
Gold price climbs towards $2,000 due to geopolitical turmoil. HLN, 2023.