The continuously increasing prices of gold have caught the financial world off guard and thrown it into a complete shock.
Financial experts, who at one time suggested investors stay away from gold, are now advising people to buy as much gold as they can, using paper money.
This has aggravated to a point where Robin Griffiths, a strategist at Cazenove Capital, termed not buying gold as 'an insanity' as every currency in the world depreciates over time. But, the price of gold seems oblivion to the concept of depreciation.
According to Griffiths, gold will continue to increase in the future. This might come as a surprise to some since the shiny metal very recently hit new highs but there?s still a lot of gas in the tank.
This increasing trend in its price was once considered to be a linear curve, but now it is surprisingly increasing at an exponential rate. There would be some points of lows during this time span, but those points are an excellent opportunity for investors to buy gold at a price lower than usual.
This happens because gold tends to do well during economic downturns. Due to the on-going pandemic, we expect the economy to crash, which is why most experts are suggesting investors consider the shiny metal.
People are slowly starting to realize that there is no wisdom in continuing to gather a currency that loses its value over time but it is more beneficial to use that same currency to buy gold that serves as an investment asset.