Gold bulls rejoice! The spot price of the precious metal smashed through $4,000 an ounce for the first time, fueled by concerns over the US economy and a government shutdown. From the beginning of this century, gold has now yielded better returns than equities.
The milestone comes against the backdrop of a laundry list of uncertainties, from global trade, the Federal Reserve’s independence, US fiscal stability and heightened geopolitical tensions. Combined, these factors have boosted demand for haven assets all while central banks continue to buy the precious metal at an elevated pace.