The gold market in 2024
2024 saw a surprising trend for the price of gold, which started the year at 2,063.73 dollars an ounce, and then reached a peak of more than 2,700 dollars in October. However, the situation changed dramatically in early November, when the price hit an all-time high of 2,736.35 dollars, and then experienced a significant drop of 6% after the US presidential elections.
This type of volatility, while it may seem worrisome, offers strategic opportunities for investors.
Gold investment strategies
The main question for investors is not whether to invest in gold, but which form of investment is most profitable during this period of price fluctuation. Gold bars and coins represent attractive options, thanks to their long-term performance history and the recent price rally. Since January 1, 2024, the price of gold has increased by about 30%, outpacing many other investments. The November price correction created a buying opportunity, as prices fell below 2,600 dollars, allowing access to physical gold at a lower price than
recent peaks.
Advantages of physical gold
Investing in physical gold offers unique advantages. First, gold is an effective cover against inflation. Although inflation has shown signs of slowing down, recent increases have rekindled concerns. Gold bars and coins can preserve purchasing power in times of economic crisis. In addition, the tangibility of physical gold provides a sense of security that digital assets or stocks cannot offer. In times of financial instability, owning physical gold becomes particularly reassuring. Finally, gold is highly liquid, meaning it can be easily bought or sold, offering flexibility to investors.
