Gold as an investment

Gold is experiencing a historic surge, reaching a record high of 2,792 dollars per troy ounce in real terms, and showing strong gains in Bulgaria as well. Tavex Bulgaria reported that gold sales in October 2024 rose by 78% compared to October 2023. Additionally, sales volume saw a substantial increase of 64% from September to October of this year.

A global surge of interest in gold has emerged among investors, commonly referred to as "gold fever." However, this trend differs significantly from the gold rushes of the 19th century in the United States and Australia. Today's investors are not prospecting for gold in mines; instead, they are purchasing the precious metal as a hedge against geopolitical instability and rising inflation.

Swiss bank UBS believes gold is gearing up for its next upward move and although it has already reached record highs, investor positioning does not appear to be particularly high.

Bulgaria emerges as a surprising leader in the realm of gold ownership, securing its position among the top three countries in Europe per capita, as revealed by financial expert Max Baklayan in an interview with BNR.

The price of gold has reached a 7-year high because of the danger of a military conflict between Iran and the United States. It reached $ 1,582 an ounce. This is the highest value since April 2013. The rise was expected because in times of geopolitical crises, gold is seen as a safe investment and the price goes up.

A month ago, money managers were the most optimistic on gold this year. Now, they can’t seem to unload bullion fast enough.

Turkish gold imports rose 17-fold to 28.2 tons in March, as citizens looking to hedge currency risk ahead of a referendum followed President Recep Tayyip Erdoğan's calls to buy gold instead of dollars.

Turkey cut it gold holdings for a second straight month in January, a period when the price of the precious metal rose the most in three years, International Monetary Fund (IMF) data showed on Feb. 24.

Turkey, which has the 12th biggest gold reserves globally, slashed its holdings by 14.227 tons to 514.893 tons last month, the IMF said.

The global demand for gold dropped to its lowest level in five years last year, the World Gold Council stated in a report released on Feb. 12.

Consumer demand for gold fell by 4 percent from 2013, as slow economic growth in Asia dampened sales of jewelry.