🚨 Gold is at an All-Time High! 🚨 Gold is shining brighter than ever. Want to know why, what, when, where, who and how? Dive into this 🧵to uncover everything you need to know about Gold's historic rally.👇 🩷 & 🔄 for better reach!
Why did gold reach its 52-week high? 🔸Gold prices surged due to weakness in the #US dollar and a sharp decline in US Treasury yields. 🔸Dollar and yields dropped as markets anticipate the Federal Reserve will begin cutting rates in its September meeting. 🔸Safe-haven demand for
What is the projected outlook for gold prices shortly? 🔸Gold prices expected to rally towards $2600 in the coming months. 🔸US economic data shows weakness in the labor market and inflation moderation, strengthening expectations for a rate cut in September. 🔸Federal Reserve is
When did gold historically outperform other asset classes? 🔸Gold's negative correlation to equities and risk assets increases as these assets decline, providing a valuable #hedge during sell-offs. 🔸Gold performs well during systemic risk, often delivering positive returns and
Where does most of the world’s gold production come from?
Who are the largest buyers of gold globally? 🔸Central banks added 289 tonnes of gold in Q1 2024, matching the same quarter in 2023, per World Gold Council (#WGC) data. 🔸Total gold purchases for 2023 by central banks reached 1,037 tonnes, the second-highest in history,
How is gold used as a hedge against inflation in India? 🔸Inflation Hedge Definition - An investment that safeguards against the reduced purchasing power of a currency caused by rising prices. Example - Stock return: 5% Inflation rate: 6% Result: 1% net loss. Assets acting as
🔸Gold vs. Stock Market From 2001-2016, gold matched Sensex returns due to a weak stock market and a depreciating Indian rupee. 🔸Expert View on Gold in Portfolios Gold should be part of an investor's portfolio, even if it hasn’t always provided perfect inflation protection.
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