Nations are buying gold for their central banks. People are scooping up gold as a hedge against financial concerns. As interest rates drop and economies all over the world start to flow, governments will “stimulate” the economies. This debases the currency and gold becomes more “valuable.”
Retail customers are starting to buy precious metals at a larger rate. This is usually the beginning of the end of the gold bull—retail buyers are usually the “last to the party.”
Oil is being pumped at record levels. The supply is good. When the supply is going up, the price will come down.
While both are commodities, they are not linked to each other.
“Oil is being pumped at record levels. The supply is good. When the supply is going up, the price will come down.”
Yes, current supply is a huge factor.