What drove prices to increase 5x from 2002-2012? IMO for the same reasons it will again appreciate in value again. It’s the Central banks allowing it to appreciate in value by not dumping gold in the markets and investor demand buying it up. It’s seen as a safe haven investment, its value has constantly appreciated since currencies were invented. The appreciation in golds value is also beneficial to Central Banks particularly in a high debt environment, they also use it as a store of value. For investors they see it as a safe form of investment where currencies and other investments are falling or look risky. The gold investor market has grown substantially over the last 20 years as economies grow, particularly in India and China where a new wave investors have entered the markets.
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