Key Takeaways
- Gold reached an all-time high of $2,629 per ounce on Sept. 23.
- Global central bank gold purchases have tripled since early 2022.
- Bitcoin climbed to a September high of $64,660, following an 8.5% rise.
Gold has surged to a record high, reaching $2,629 per ounce on Sept. 23, as reported by GoldPrice.org. This follows a 5% increase over two weeks, largely driven by the U.S. Federal Reserve’s interest rate cut of 0.5% on Sept. 18. Lower rates make returns from government bonds less attractive, boosting gold’s appeal as an inflation hedge.
Geopolitical tensions, including conflicts between Russia and Ukraine, and Israel and Hamas, have further pushed investors toward gold. A Goldman Sachs report from Sept. 12 highlighted that global central bank purchases of gold have tripled since early 2022, following Russia’s invasion of Ukraine. The report predicts that gold could reach $2,700 by early 2025.
While gold is reaching new highs, Bitcoin has also seen a rise. On Sept. 23, Bitcoin hit a four-week high of $64,660, representing an 8.5% increase since the Fed’s rate cut. Markus Thielen, CEO of 10x Research, predicted Bitcoin could hit new all-time highs by the end of 2024, following seasonal performance patterns similar to previous years.
Peter Schiff took the opportunity to criticize Bitcoin investors, saying,
With so much attention focused on Bitcoin, investors are not only missing out on gold’s gains but the significance of the rise.
