The headline of an article by CNBC dated 5th August 2019 is “Gold soars as trade worries trigger flight to safety”. In the article CNBC says that amidst escalating US-China trade conflicts and fears of a slowing economy, investors are buying more and more gold leading to a surge in gold prices.

In the CNBC article Michael Matousek, head trader at U.S Global Investors says “What is driving gold is fear of these tariffs and the fear of China retaliating.” In the same article, Mr Michael Matousek further adds that a host of uncertainties surrounding the global economy, an environment of negative bond yields and an ongoing currency war were making the case for gold.

You can read the full CNBC article by clicking on the link :Gold soars as trade worries trigger flight to safety

For more than 2,000 years, gold has been a safe and secure way to store wealth. In times of volatility while prices of equity and other assets are volatile, gold remains steady. Gold has been a safe asset to store your wealth in times of volatility and uncertainty. What is happening today is no different. In the backdrop of US-China trade conflicts and fears of slowing global economy, more and more investors are buying gold as a safe asset leading to a surge in prices. In the last one year gold prices in India have increased by approximately 27.90% as shown in the graph below.

There has never been a better time to own gold.