Gold at new historic heights. When will we see $ 2000 an ounce?

On Monday morning, the price of gold reached $ 1944 an ounce and reached new historic highs. In the face of the weakness of the dollar, gold is a safe haven in the ongoing epidemic crisis. Will the breakthrough of $ 2000 an ounce be the next breakthrough? The record from 2011 was broken, experts count on more. On the wave of increases in the price of gold, the demand for silver.

- The price of gold has been steadily increasing since the outbreak of the COVID-19 pandemic. It was only a matter of time before new summits were designated. gold is helped by a weak dollar, which loses in relation to all currencies due to the lack of agreement of American politicians on the final shape of the fourth phase of the stimulus package - ocenia Bartosz Sawicki, head of the Analysis Department at TMS Brokers.

Gold and silver are on top

The fact that the United States is not dealing with the epidemic is a deterrent to USD. The adoption of the rescue package for the European economy has tipped the scales of retreat from the US currency. Since then, the USD has been losing against the basket of currencies and raw materials.

In the world, the geopolitical, epidemic and economic situation still leaves much to be desired. The US-China conflict continues, and the epidemic never forgets itself. Such events call into question the pace of economic rebound, and although stock indices are climbing up and better signals are coming from the real economy, investors are still worried about the fall and a possible return of the epidemic and lockdowns.

- Along with the increase in the price of gold, silver also gains, the price of which is growing almost 6% today. and reaches over $ 24 per ounce. Since the outbreak of the pandemic, the price of silver has risen more than 100%. and is in a good environment for further growth - judges Sawicki.

In such an uncertain environment, precious metals, and above all goldis a good choice for diversifying your investment portfolio. In the environment of real negative interest rates, gold is a safe investment of capital and a security for the future. Both individual and institutional investors know this. ETF Funds based on gold, they buy record amounts of raw material and their balances grow every week.

- Since the beginning of June, gold has been increasingly bought through futures contracts. Net positioning of speculative investors in the US stock market COMEX (part of NYMEX) is growing successively, following an earlier decline in March-May. This means that there are more and more "long" positions, which should be understood as traders' expectation of further increases in metal prices - assesses Łukasz Zembik, OTC market expert at TMS Brokers.

- Data for last Tuesday, provided by the CFTC (Commodity Futures Trading Commission), showed about 270. net long contracts. The extreme high positioning we saw at the end of February is still a long way off. If Wall Street investors start buying gold futures en masse, hitting $ 2000 an ounce of royal metal will only be a matter of time - adds Zembik.