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Gold Firms Above $2,000 As Inflation, Ukraine War Support Metal

Palladium smashes record as concern over Russian supply mounts

The metal, mostly used in devices that curb pollution from gasoline cars, extended this year’s gain to 76%.

Gold prices hit $2,000 an ounce after investors pile into the safe-haven asset as the Ukraine crisis worsens

Gold prices passed $2,000 Monday as investors flocked to the safe-haven asset over fears the Ukraine crisis will escalate. REUTERS/Mike Segar Gold

Goldman Sachs once again supports gold: the ultimate king of currency safe-haven assets_SMM

[Goldman Sachs once again supports gold: the ultimate king of monetary safe havens] last month, gold outperformed its "safe haven" peers such as US Treasuries, Bitcoin and the Swiss franc because of soaring global geopolitical tensions. Goldman Sachs believes that the price outlook for precious metals such as gold is more difficult to predict in the short term, but is bullish in the medium term: on the one hand, if the central bank of Russia restricts the use of its offshore reserves, this will allow Russia to use its huge domestic gold reserves to continue its foreign trade, and the unique role of gold as the ultimate currency may be apparent. On the other hand, due to the large amount of settlement, there are only a limited number of buyers who are willing to make such a transaction.

Ukraine crisis offers gold a chance to shine

Russia's threats to Ukraine are pushing the price of gold higher. But investors are also worried that US interest-rate rises could go too far and spark a recession.

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