Gold Soars to Record Heights as Stock Market Plummets: Uncertainty and Inflation Concerns Drive Investment into Precious Metal
The price of gold has surged to an all-time high amid the stock market’s ongoing pullback, a disappointing jobs report and rising tensions in the Middle East.
Why Gold Prices Are Rising to Record Highs
The precious metal set a new record when it hit $2,474 per troy ounce Friday morning on the back of weak employment data, a weeks-long selloff afflicting the major market indices and renewed rhetoric between Israel and Iran. Gold prices have posted a year-to-date gain of 21%, compared to 12% for the S&P 500.
What’s Driving the Price of Gold?
According to the U.S. Bureau of Labor Statistics, the unemployment rate hit 4.3% in July, the highest reading since October 2021. Additionally, only 114,000 non-farm jobs were added.
Investing in Gold
Gold has historically been used to mitigate overall portfolio risk as a safe-haven asset. And while owning the physical metal may not be ideal for retail investors, there are numerous ways to invest in gold and other precious metals.
Should You Invest in Gold?
Gold has historically been used to mitigate overall portfolio risk as a safe-haven asset. And while owning the physical metal may not be ideal for retail investors, there are numerous ways to invest in gold and other precious metals.
