Gold prices break their highest levels in the record, but they are still a risky bet – “You do not send gold to buy your domino pizza,” Finance Expert “

• Gold is traditionally seen as an old hedge Against inflation and market fluctuation, the price of the precious metal increased amid President Donald Trump’s threats at all. However, finding liquidity is still difficult, however, the risks are especially high for smaller investors.

It turns out that the customs tariff is good news for Goldbugs. Since the uncertainty in commercial policy and stagnation fears the Hashajja markets, the high demand for safe armed assets has helped pay the immediate price of precious metals to the highest level of $ 3,000 for the first time on Friday, although it decreased later in the day.

The historical purchase spree of Bullion by Central Banks has helped stimulate the assembly in recent years, but merchants have been rewarded for their stakes on the metal for some time. Gold prices have risen about 10 times since 2000, for each BloombergWhile S& P 500 has only quadruple. With interest in minerals, however, smaller investors may want to think twice before adding alloys to their wallets.

Rob Haworth, chief investment expert in the United States in wealth management in the United States, said, said Rob Haworth, chief investment strategy expert in the United States in wealth management in the United States, said Rob Haworth, chief investment strategy expert in the United States in wealth management in the United States, said, ” luck. After all, we will likely say that the metal can be easily converted into cash and exchange for goods and other services.

“You do not send gold to buy Domino’s pizza,” he said.

In the same manner, it is possible to make it difficult for smaller metal to smaller investors to buy and empty a competitive price compared to institutions, which often enjoy better access to gold markets and more alloys.

However, gold has long participated in gravity as hedge against inflation and market fluctuations. Initial results from the feeling of the famous consumer at the University of Michigan reconnaissance He showed that the respondents are more pessimistic about the American economy than it has been since 2022. Many consumers, including Republicans, said, “The repeated awareness of economic policies” has made it difficult to plan the Director of Financial Survey, Joan Hsu.

Besides President Donald Trump’s threats, indirect identification threats, a general scarcity of profit news from companies has also helped to develop an increasingly unconfirmed environment, said Rob Haworth, the chief investment strategy in the United States, said. luck.

He said: “This is the place where people are searching for safe havens, and gold can be considered in this way.”

Haworth is somewhat skeptical of the long -term metal horizons, but he indicated that inflation expectations in Michigan survey rose to 4.9 %, up from 4.3 % in February and the highest reading since November 2022.

“Because every person only needs liquidity at that point, right?” He said. “Everyone needs money.”

While the price of the nominal period of alloys has just reached the highest level ever, the modified peak that was adjusted in gold, which amounted to $ 3800 in 1980., when America found itself in the labor of “recession”, or the unusual distress of both mashed inflation and the growth of the mark.

Central banks dominate the market

The purchase of the central bank has been feeding the Gold Rally in recent years. As countries like China continue to press to cancel the installation, or fly themselves from the world’s backup currency, it is likely to serve as a huge wind of minerals. The US dollar has weakened in recent weeks, making gold cheaper for foreign buyers as the price of the metal is transferred in Greenbacks.

Haworth noted that the purchase of organisms such as China, Poland, India and Turkey coincided with the purchase of a lesser foreign secretary for the United States Treasury. Meanwhile, if the definitions targeting the targeted countries to export to America are less, they will have less money to spend on American debt.

“Until this trend continues,” said Haworth. “

Since the Trump administration, which appears installed on America’s trade deficit with other countries, is trying to reshape global trade, and some investors raise the ability of gold to maintain value amid macroeconomic disturbances.

“We have seen that over the centuries, gold has managed-despite the fluctuation-said. Bloomberg.

But Haworth is not sure that Bullion provides this job for investors. This may be something to think before rushing to Costco to buy more golden bars.

This story was originally shown on Fortune.com