According to the World Gold Council (WGC), gold has broken 8 price records in September. In its latest report, it points to continuous increases derived from the geopolitical situation and, above all, from the movements of central banks.

It seemed that gold had risen abruptly in August due to the sudden fall of the stock markets. And, if anyone expected strong corrections in the price of physical gold, everything indicates that they will have to wait a long time. Gold continues to position itself as the safe haven par excellence in an environment of instability that continues and that has no prospects of changing in the short term.

All this has caused gold to close the month of September with a rise of 4.6%, reaching $2,630 per ounce. Gold has currently undergone a correction that has brought it to around 77 euros per gram, which in any case means an appreciation of more than 35% in one year. Some analysts attribute this slight correction to doubts about the Chinese economy and disappointment over the meager fiscal stimulus policy announced by its government.

The reason for the rise

In its latest report, the World Gold Council points to geopolitical tensions in the Middle East and the aggressive rate cuts by the Federal Reserve as the main reasons for the unstoppable rise in gold. It also points to a scenario of instability for stocks and bonds, which would attract investors to gold, knowing that it is an asset that appreciates in these situations.

The question, therefore, poses a moral dilemma: would a possible resolution of the current armed conflicts cause the fall of gold? Well, according to economist Gustavo Martínez, the answer is clear: no. Gold would continue to be at high prices due to the need of central banks to protect themselves against economic uncertainties due to the volume of debt. There is also another issue that is pushing gold, the fact that ETFs based on physical gold have become popular. The ease and speed of buying and selling ETFs facilitates and multiplies operations, but requires the accumulation of physical gold so as not to become a bubble without support.

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11Onze has been offering physical gold to its community since February 2022. From the beginning, it was pointed out that an environment of inflation, debt crisis and geopolitical risk would make gold a safe haven. We said then that it was necessary to protect savings, as central banks would do, by buying physical gold. Since then, gold has appreciated by more than 50%.

If you want to discover the best option to protect your savings, enter Preciosos 11Onze. We will help you buy at the best price the safe-haven asset par excellence: physical gold.