The precious metal has been on a steady climb since the start of the year, driven by a combination of factors, including a weakening U.S. dollar, rising inflation, and a surge in demand for safe haven assets. Gold prices surged to a record high of $2,600 per ounce on Friday, driven by a confluence of factors, including the expectation of further U.S.

Gold is a precious metal with a long history of use in various cultures and civilizations. It is highly valued for its beauty, rarity, and resistance to corrosion. Gold has been used as a form of currency, a store of value, and a symbol of wealth and status.

**Key Features of ETPs/ETFs:**

* **Transparency:** ETPs/ETFs are transparent, meaning their holdings are publicly disclosed. This allows investors to see exactly what assets they are investing in. * **Liquidity:** ETPs/ETFs are highly liquid, meaning they can be bought and sold easily on stock exchanges.

This trend has been fueled by a number of factors, including:

* **Low interest rates:** Historically low interest rates have made gold a more attractive investment compared to other asset classes. For example, in 2020, when global interest rates were near zero, gold prices surged to record highs. * **Inflationary pressures:** Gold is often seen as a hedge against inflation, as its price tends to rise when inflation is high.

* **Major geopolitical events:** These events can be seen as drivers of gold demand. * **Global investors:** Their actions and concerns shape the market dynamics of gold. * **Uncertainty:** Gold often acts as a safe haven asset during times of uncertainty.

This trend is driven by several factors, including the desire to diversify their portfolios, hedge against inflation, and strengthen their currencies. Central banks are increasingly recognizing the role of gold as a safe haven asset, particularly in times of economic uncertainty. The World Gold Council’s assessment highlights the growing interest in gold as a store of value, a hedge against inflation, and a safe haven asset.