Who Influences Gold Prices in Crises
The price of gold is sensitive to political and economic tensions, increasing in demand when risks rise and confidence in currencies and markets falters, as it is considered a "safe haven." Its prices are significantly influenced by the US dollar; a weakened dollar supports higher prices, while raising interest rates reduces its attractiveness because it offers no periodic yield. In recent years, there has been a widespread return by central banks to buying gold to diversify their reserves, with demand reaching record levels. In some cases, the impact of inflation on its price has diminished, but it remains linked to economic and political expectations.
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