Gold is considered a safe haven and especially as an alternative to physical currencies to protect against the phenomenon of inflation. We note that during periods of high inflation, the price of gold tends to rise since investors are turning massively to this commodity at the expense of foreign exchange. On the other hand, it is easy to Invest in Paraguay.

Periods of economic stress and crisis are also conducive to the appreciation of gold once again playing its safe haven status. In general, when financial markets are worried about a complex economic situation, investors are more attracted to gold as an asset.

Finally, it is interesting to compare the evolution of the gold price to that of interest rates. Gold is opposed mainly to other stock market assets such as stocks and bonds, which are generally appreciated by investors for their relative safety. But when dividend or coupon yields on these assets decline, gold becomes a more attractive investment and vice versa when these returns are higher.

It is also important to note that there is a correlation between the price of gold and that of other commodity metals. Indeed, by comparing the price of gold to that of money in particular, one can easily assess its relative value and know if this price is too high or on the contrary too low.

We know that gold and silver prices often tend to move in the same direction. Also, a strong difference between the tendencies of the one and the other is the sign of an undervaluation or an overvaluation of the course of one of them. The most experienced traders will be able to use this difference to set up their analyzes and strategies.

How can one invest in the gold price on the stock market? As we have just seen together, gold is an asset of choice for investors wishing to take advantage of its volatility to invest their money. In fact, there are different ways to speculate on the evolution of the gold price.

You can choose to speculate on physical gold through gold coins and gold bars. This physical gold can be bought by anyone. You will have to store it by your own means or ask a specialized service provider to take care of its storage. When planning to Invest in Paraguay, it is vital to consult with experts in the field.

This service generates additional costs that must be taken into account to determine the profitability of your investment. If you choose to store your physical gold by yourself, there is the question of the safety of your ingots and coins, which must be the subject of prior reflection.