For the second time this year, the price of gold has broken through the all-important $2,000 an ounce mark.
According to goldprice.org, gold closed at $2,006 an ounce on Friday 27th October. At the time of going to press on Monday, it was trading just below $2,000 at $1,999.48 an ounce.
The price rise has been attributed to the current international instability, with the price of gold up 9% since the terrorist attacks in Israel on 7 October.
“Gold has a unique status among assets in that its price often rises with rising geopolitical concerns,” says a World Bank outlook report on commodity markets. “In the event of a wider conflict in the Middle East, gold prices are likely to rise from already high levels as investors shift to safe-haven assets.”
In March, gold had breached the $2,000 mark amid turmoil in the banking sector triggered by the collapse of Silicon Valley Bank. In 2020, the price of gold will exceed $2,000 per ounce for the first time in history.
