At the 2024 Precious Metals Conference, organized by the London Bullion Market Association (LBMA) in Florida (USA), experts were surprised when gold prices increased sharply, continuously setting record highs but there were no signs of profit-taking.

Analysts say gold is still being bought heavily due to optimism. Investors are actively “riding the gold wave” as gold prices continue to climb. With the upward trend, gold prices could reach $2,941 per ounce in the short term and $3,000 per ounce early next year.

At the conference, experts argued that one of the core things driving gold prices is the upcoming US presidential election.

They argue that whether Donald Trump or Kamala Harris wins, it will be the height of global geopolitical instability. In the coming term, neither candidate will be able to offer a policy to address the growing US national debt, which has exceeded $35 trillion.

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Experts find it difficult to predict a new peak for gold. Photo: HH

Along with that, tensions are escalating everywhere, from Ukraine, the Middle East to the Korean peninsula. All are very unpredictable.

Experts say that in this context, investors are increasing their purchasing power for gold to protect their assets. This momentum will push gold to new heights.

At the LBMA conference, one of the issues that many experts were interested in and discussed was the reasons why the Czech National Bank, the Central Bank of Mongolia and Banco de México gave for holding gold.

All three banks said gold is an important diversifier in their national foreign exchange reserves and that these reserves will increase.

In addition, the US dollar is losing its status as the world's reserve currency, which is an opportunity for many countries to increase their gold holdings. Since the beginning of the year, the price of gold has increased by about 28% and despite the fact that the price of gold is still on an upward trend, countries around the world are still buying gold.

Last week, strategists at Bank of America recommended that investors - including central banks - should turn to gold as a form of protection against persistent inflation and debt recession caused by governments printing paper money to pay off their debts.

Danielle Oliari, CEO of CNT Depository, said gold is the ultimate safe haven asset amid political uncertainty. Investors, including central banks, should step up their purchases.

In the long term, analysts say, with forecasts of continued US debt growth, a supply of Treasury bonds facing risk and higher interest payments as a share of GDP, gold will be a sought-after asset in the coming years.

In the short term, Bank of America analysts warn that gold prices could fall as they lack some key drivers. However, gold will benefit from the next interest rate cut by the US Federal Reserve (Fed) in November.

Many forecasts show that investors are increasingly interested in gold trading in the future. However, geopolitical instability and the US election make the peak of gold prices difficult to predict.

In the domestic market, gold bars and gold rings recorded increases in the same direction as the world in the last sessions of the week. Accordingly, the buying and selling price of SJC gold was 84-86 million VND/tael. SJC's 5-chi gold ring reached 85.3 million VND/tael in the selling direction. Meanwhile, Doji's smooth round gold ring reached 85.7 million VND/tael.

Gold price today October 20, 2024 sets a new historical peak, steady growth Gold price today October 20, 2024 on the world market closed the week with a strong increase. Domestic gold ring price is listed at a high level, approaching 86 million VND/tael.