An employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFPAn employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFP
An employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFP
Neal Kimberley
Opinion

Opinion

Macroscope by Neal Kimberley

Coronavirus recovery: gold price spike shows real fear of inflation

  • No doubt the uncertainty surrounding the pandemic is a key driver of gold demand, the precious metal having been a safe-haven asset for millennia
  • However, it is also possible central bank policy responses to the pandemic, while perfectly logical now, will have undesirable consequences in time

An employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFPAn employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFP
An employee displays gold bars at a Korea Gold Exchange shop in Seoul on July 30. Virus uncertainty and China-US tensions have sent gold prices soaring nearly 30 per cent this year. Photo: AFP
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