Multi-asset managers dismiss bubble fears as gold price reaches record high

Gold miners offer best access

Lauren Mason
clock • 7 min read

Gold is likely to continue its rally despite vaccine hopes boosting market optimism over recent weeks, according to several investment professionals, who said the increasing likelihood of inflation, geopolitical tensions and downward pressure on the dollar could continue to bolster the price of the yellow metal.

This comes hours after gold soared to an all-time high of $1,943.93 an ounce, as regional outbreaks of coronavirus have sparked fears of a second wave, and tensions between the US and China have worsened. The commodity's previous price record was set in 2011 during the throes of the European sovereign debt crisis. Year to date, gold's spot price has risen by more than 27% according to data from FE fundinfo. While gold typically fares well during times of uncertainty or crisis, investment professionals say it is far less usual for stockmarkets and gold to move upwards in tandem - a ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Multi-asset