The World Gold Council has just released a report in which it says demand for gold climbed by 21% to almost 1,300 tonnes in the first three months of 2016 compared to last year.
That spike in demand for gold represents the biggest first quarter increase since records began in 2000.
According to the Council, the rise was “fuelled by investor concerns regarding economic fragility and an uncertain financial landscape.”
That economic fragility and uncertain financial landscape comes in the form of central banks slashing interest rates deeper into negative territory and concerns that Britain could leave the EU.
The Council’s report states that in terms of value and volume gold bar and coin demand in the UK climbed by more than 60% in the first quarter of 2016.
That demand is reflected in the gold price, which has jumped from £720 per ounce at the start of the year to £857 by the end of the first quarter. The price has subsequently jumped again, getting as high as £893 per ounce this month.
Our newest pure gold coin is a must-have
This is the coin that has angered a lot of American collectors, simply because they cannot get hold of one (as I reported last week).
It’s the first 24 carat gold American Dime and because the US Mint sold out of the first release of them in under an hour, some are being listed on eBay for thousands of dollars.
But you can have one today for just £295. We’re down to crumbs on this one though.