Joshua Saul – The Pietra Sussan Company
22nd June 2016
With the market eagerly awaiting the EU referendum results as to whether we stay within the EU or whether we leave – markets are volatile and uncertain. People want to know when will we know the result of the Brexit Vote? As the polls have swung slightly in favour of the U.K. remaining within the EU, implying less short term uncertainty and a strengthening pound, the gold price had slid somewhat. This has in fact strengthened demand as our clients have used the dip as a buying opportunity to protect themselves from longer term global volatility.
Throughout the voting day on Thursday we may be able to use the gold price as an indicator of the likely referendum outcome, with strong gold pointing to a likely leave vote and weakness indicating a likely stay vote.
Brexit has created an epidemic of media attention for gold as a secure way of protecting one’s wealth. Toby Walne for the Mail on Sunday published an article entitled “Gold is up 22% this year as economic fears grow, but should you pour it into your pension pot?” He specifically refers to putting gold into your pension but he also demonstrates the various ways and forms in which to purchase physical gold. In a blog we wrote in February we asked, why are people investing in physical gold? The answer to this question is more prevalent now than it has been in decades…
