Gold in EUR – Monthly Close – 10 Years
Gold prices surged to new all time record highs in euros and pounds at 1,614/oz and £1,406/oz respectively on Friday due to concerns about the outlook for both the UK and EU economies and concerns about the outlook for both currencies in an era of unprecedented economic and monetary risk.
Gold prices rose to a more than seven-year high at $1,736/oz in dollars too prior to gold corrected in all currencies as futures market participants took profits.
Mounting fears of central bank currency debasement and government deficit spending globally on a scale never before seen in history is seeing investors diversify into finite physical gold.
Gold in EUR – 3 Days
Gold surged to €1,614/oz (see chart above) as the single currency came under selling pressure as concerns deepen about Italy and other periphery nation’s banks and economies and due to increased risks to the euro and the monetary union.
Gold in GBP – 3 Days
Gold surged to new record all time highs in sterling at £1,406/oz in pounds (see chart above) as the embattled pound continued to lose value versus gold due to concerns about the UK economy and the outlook for sterling.
Strong safe haven demand for gold continues due to concerns about the outlook for the UK, EU and global economy, the unprecedented monetary response of the ECB, the BoE and the other central banks and growing concerns that national currencies will be devalued by governments in the coming months and years.
Gold remains one of the best performing assets in 2020 year to date, having risen 12.8% in dollar terms, 16.5% in euro terms, 20% in pounds and by more in other currencies. This outperformance is likely to continue as the pandemic and government lockdown pins burst the massive global debt bubble and tip debt laden economies into financial and monetary crises.
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