Rising Value of Gold and its Implications for Global Markets

SOURCE unherd.com
Economists predict gold will continue to rise in value due to global instability and changes in trade settlement mechanisms, with some forecasting a price of $10,000 per ounce by 2030. The downward manipulation of gold prices has reportedly ceased, leading to increased confidence in the precious metal as an investment.

Key Points

  • Gold's value has been on the rise, outperforming other traditional assets like stocks.
  • Changes in global trade dynamics and increasing demand for gold could drive its price up to $10,000 per ounce by 2030.
  • The manipulation of gold prices through financial instruments has reportedly ceased, leading to a more accurate reflection of market demand.

Pros

  • Gold is predicted to be a strong performer in 2025, with many financial institutions forecasting a price of $3000 per ounce.
  • Gold may become a key asset in trade settlement mechanisms due to changes in global trading dynamics.
  • Increased demand for gold could lead to a rise in its value, making it a valuable investment for the future.

Cons

  • The potential reliance on gold for trade settlement could pose challenges due to limited availability of the resource.
  • The US dollar's status as a reserve currency could be impacted if countries shift towards using gold for trade transactions.
  • The historical significance of gold as a symbol of wealth and stability may not fully align with its modern economic implications.