Significant Increase in Gold Price in Corona Year 2020

Significant Increase in Gold Price in Corona Year 2020

The gold price rose sharply in the corona year 2020, aided by the enormous support packages against the corona crisis, the cheaper dollar and the turmoil in the financial markets.

 

The price climbed more than 24 percent this year, which is the most substantial annual increase since 2010.

Friday, the price of a troy ounce (31.1 grams) was about $ 1,889. In August, the gold price even hit a record level of more than $ 2000, breaking the old record of 2011. In troubled times in the financial markets, gold is seen as a safe investment.

The precious metal’s price was also supported by a global economic stimulus such as interest rate cuts. Investments in gold are considered a form of protection against currency depreciation and inflation.

The prices of other precious metals also rose this year. For example, the silver price climbed by almost 50 percent, and palladium became 20 percent more expensive. The price of platinum increased by 10 percent.

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