28 November 2023
Gold prices are expected to remain high due to several factors, even if inflation eases. Central banks, particularly China’s, are buying gold to diversify and stabilize their reserve assets, partly influenced by geopolitical tensions like Russia’s invasion of Ukraine. Additionally, in China, gold’s demand as a wealth store is increasing due to economic challenges and property market issues. This trend, coupled with gold’s status as a safe haven in uncertain times, suggests that its demand will stay elevated, especially with the approaching 2024 U.S. election year adding to market volatility.