Athletes are about to go for the gold in Rio. But investors have been already doing that all year long.
Gold prices are up nearly 30% this year.
The yellow metal has been shining due to worries about the health of the global economy and continued concerns about the value of paper currencies in a world where interest rates around the world are extremely low -- and, in some cases, negative.
Gold often does well when investors are nervous. There's been an even more ferocious rally in some other precious metals.
Silver, for example, is up nearly 50% this year. At times of unease, a physical hunk of metal is something tangible that investors can hold and touch -- and help allay some fears about deflation, stagnant economic growth and political uncertainty.
Big-time investors like George Soros and Jeffrey Gundlach have been bullish on gold lately.
Some investors have been predicting that gold could even get back to all-time highs above $1,900 an ounce from 2011.
Gold still has a ways to go before it gets to those lofty levels again. It's currently trading at about $1,365.
Of course, if the current economic soft patch turns into something like 2008, then all bets are off. It's doubtful that gold or other metals could continue to thrive in a full-blown financial panic. Fortunately, few are predicting such a dire scenario.
Gold prices are up nearly 30% this year.
The yellow metal has been shining due to worries about the health of the global economy and continued concerns about the value of paper currencies in a world where interest rates around the world are extremely low -- and, in some cases, negative.
Gold often does well when investors are nervous. There's been an even more ferocious rally in some other precious metals.
Silver, for example, is up nearly 50% this year. At times of unease, a physical hunk of metal is something tangible that investors can hold and touch -- and help allay some fears about deflation, stagnant economic growth and political uncertainty.
Big-time investors like George Soros and Jeffrey Gundlach have been bullish on gold lately.
Some investors have been predicting that gold could even get back to all-time highs above $1,900 an ounce from 2011.
Gold still has a ways to go before it gets to those lofty levels again. It's currently trading at about $1,365.
Of course, if the current economic soft patch turns into something like 2008, then all bets are off. It's doubtful that gold or other metals could continue to thrive in a full-blown financial panic. Fortunately, few are predicting such a dire scenario.
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