Possible reasons behind the Gold Run:

  1. Less availability of gold in the Earth Crust.
  2. Acts as a hedge against the Dollar Depreciation.
  3. Dollar Index indicator of the strength of Dollar higher the dollar index lesser the value of gold and lower the value of Dollar index higher the value of Gold. lower value of Dollar index indicator of the depreciation of the dollar.
  4. Any Geopolitical uncertainty in the world Macro, Gold’s Demand increases as safe Heaven
  5. Increased Physical demand / delivery of the Gold by LBMA or SGE, from the countries’ Central Banks raises the prices of the Gold.
  6. Retail customer’s Demand also raises the physical demand and increase in price indirectly attempts to restrict the physical demand.
  7. Global Debt increase and major increase in the American Debt.

Key Points:
US Market Cap 208% of the US GDP (30 T$)

World Market cap 100-120 T $

S&P Market cap have 40% share of Mag 7 Shares

324Trillion $ world Debt
US indirect and Direct Debt Over 100 Trillion dollar

Gold Price acts as a hedge in the central bank reserves.
Increase in the gold price provides the liberty for the extra supply of Dollars which will increase the overall Market.

When there are recessionary situations extra flow of money increased the gold price indirectly and Stock Market also soared, inflation increases.

Look ahead for the Fold Price:
Gold price will continue to rise until the inflation persists, recessionary situations emerge, Global Macro situations, restricted physical delivery and central Bank demand exits.