Gold price at record levels - commodity analyst: "Rebirth"
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Loading... - Henry Taylor
- 27 Jan 2023
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The price of gold is among the highest ever. At the same time, interest in selling gold is at a record high, in the wake of the economic situation.
- People sell to be able to afford everyday bills, says Nils Klevmarken, CEO of Sefina Pantbank.
Gold is approaching a record price. In March 2022, the price was the highest ever, just over SEK 645,000/kg. Since then, it has remained steadily above SEK 550,000. Last Monday, gold was almost as expensive as last year's peak.
- Gold has been reborn, says Christian Kopfer, commodity analyst at Handelsbanken.
Above all, the geopolitical unrest has made gold more attractive - a well-known connection in the industry. At the same time, the Swedish krona has weakened against the US dollar, in which the gold is traded, which has made the price increase even more evident here. Central banks have been buying more gold, and those who previously invested in cryptocurrencies have started to return to gold.
- In the past, cryptocurrencies have partly been a supplement to investments in gold, but that trend has fallen back in 2022, says Kopfer.
In addition, the major central banks are not expected to raise interest rates as much as previously feared. This is favorable for the gold price, says Kopfer, because the currencies then do not increase in value as much.
High pressure at pawnshops
That the price of gold has risen is clear to the country's pawnshops. They notice that more and more people want to pledge their gold. If you then do not collect your gold in time, the pawnshop sells the gold to you, and they notice that it is also becoming more popular.
Pantbanken Sweden has increased deposits of gold by 20 percent so far in January, compared to January last year. The company also owns the site Finguld.se, where you can send your gold by post, and they have received 55 percent more gold this year than the same period last year. Read More…
