FLASH
Shkruar nga Pamfleti
Gold remains the safest “haven” of wealth. The price of gold has risen by more than 30% since the beginning of the year, a performance that significantly outperforms stock market indices. In real terms (including inflation), the growth is reminiscent of the period 1979-1980. Gold surpassed the historical high of January 1980, reaching 3 643 dollars/ounce.
The price of gold has increased 14-fold since 2000. If you had invested $10,000, it would have become $140,000 today. Over the past 5 years, gold has outperformed the Nasdaq as well as global technology giants.
Historically, gold has served as the ultimate hedge against inflation. Political, geopolitical, and economic uncertainties favor gold as it is considered a safe haven asset. This means that investments maintain or increase their value during periods of market volatility and declines. Gold also strengthens during periods of high inflation such as those of recent years.
When the dollar falls in value, gold prices tend to rise. Conversely, when the dollar rises in value, gold prices tend to fall. Central banks have also contributed to the rise in the price of the “yellow metal”. The largest buyers of gold around the world are Central Banks. In 2024, they added more than 1,200 tons to their reserves, the largest annual increase in reserves in at least 50 years. Global gold investments recorded a third consecutive month of inflows in August, reaching $5.5 billion.
There are also those who invest in shares of gold mining companies. This is a more indirect way to invest in gold, as you do not personally own the gold. The value of gold mining shares usually fluctuates, closely tracking the price of gold.
If you invest in physical gold, the only income you get from gold is the profits if gold prices rise above the market price. However, some stocks of gold mining companies pay dividends, so it is possible to generate passive income.
Lini një Përgjigje