gold

Stocks of precious-metals mining companies and exchange-traded funds (ETFs) tied to gold and silver typically move sharply in response to large price changes in those metals.

Gold is commonly treated as a safe-haven asset that investors increase purchases of during periods of economic or geopolitical uncertainty.

Lower key interest rates tend to make gold more attractive as an investment relative to interest-bearing assets.

Precious metals such as gold and silver are quoted and traded by weight in troy ounces, which is the standard unit for measuring them.

Central banks often increase their gold purchases during periods of heightened geopolitical tensions.

Gold is commonly regarded as a safe-haven asset that investors purchase during periods of financial or geopolitical turmoil.

National central banks can diversify foreign-exchange reserves by increasing allocations to gold, and large central-bank purchases can materially influence gold prices because of their substantial buying capacity.

U.S. Treasury securities have historically been regarded as a primary global safe asset, while gold serves as an alternative safe-haven asset that is not denominated in a fiat currency.

Investors sometimes seek assets that are not tied to fiat currencies, such as gold and bitcoin, to hedge against risks like currency depreciation, sovereign debt concerns, and economic or policy uncertainty.

Gold is commonly viewed as a "safe-haven" asset that investors often buy during periods of economic or geopolitical uncertainty.

Gold prices tend to rise when the U.S. dollar weakens.

Physical gold does not pay dividends or interest and investing in physical gold typically incurs storage, security, and insurance costs, so returns depend on selling the metal at a higher price than the purchase price.

A commonly cited portfolio allocation guideline is to limit exposure to gold and gold-related investments to a maximum of about 10% of an investor's overall portfolio to avoid crowding out income-producing assets.

Inflationary pressures and geopolitical instability are macroeconomic and geopolitical factors that are commonly associated with upward pressure on gold prices.

Investors commonly use gold as a safe-haven asset during periods of economic turmoil and as a hedge against rising inflation.

Lower nominal interest rates reduce the opportunity cost of holding non-yielding assets like gold, making gold relatively more attractive compared with interest-bearing government bonds such as Treasuries.

Purchases of gold by central banks tend to increase during periods of heightened geopolitical tensions, supporting overall gold demand.

Gold is priced in U.S. dollars, so a stronger U.S. dollar tends to make gold more expensive for non-U.S. buyers and can reduce international demand for gold.

Gold is commonly used as a hedge against geopolitical instability, trade disruptions, inflation, and policy uncertainty, and demand for gold typically increases during periods of elevated perceived risk.

After a rapid price rally in an asset such as gold, the likelihood of investor profit-taking rises, and profit-taking can reverse price momentum quickly.

Investors can use dollar-cost averaging to add positions in gold during price pullbacks, holding physical bullion offers a different form of exposure, and gold is generally recommended as a component of a diversified portfolio rather than the sole or dominant holding.