Gold prices have broken out to new highs this year, with investors in the precious metal making unexpectedly robust returns from the popular safe-haven investment. The bullish price action in the yellow metal stems from strong buying demand from central banks worldwide, along with a multitude of other factors - including surging geopolitical tensions, escalating U.S. debt, and concerns over the dollar's eroding value.
These tailwinds have pushed gold to new record highs, with spot gold (GCY00) hitting a new all-time best of $2,684.45 in today's session, and December-dated gold futures (GCZ24) - the most active contract - peaking above $2,708 earlier. Gold is now up 29.5% on a YTD basis, outperforming both the S&P 500 Index ($SPX) (+20.5%) and the tech-heavy Nasdaq Composite ($NASX) (+21.2%).
