Investors Still Feel Safe Investing In Gold In Today's Ever-Changing Economic Climate, According To Reed Cagle

COLORADO SPRINGS, , CO, USA, July 26, 2021 /EINPresswire.com/ -- The economy in the United States took countless hard hits during the global COVID-19 crisis. While many aspects of the economy are getting back to normal, others are taking some time.

According to entrepreneur Reed Cagle, gold prices are staying strong despite an uptick in the United States economy. Here, we'll take a look at what gold prices mean for the economy, factors that affect the demand for gold, and how the prices of gold are likely to change in a post-COVID environment.

How Gold Prices Reflect The Economy
For investors, gold is seen as a safe choice, especially in times of economic trouble. When the economy is flailing, investors may feel unsure of choosing high-risk or even moderate-risk options, and may turn to tried-and-true gold investing instead, says Reed Cagle.

When those who have their thumbs on the pulse of the economy choose to invest in gold, it's a sign that the economy is either going through a period of change or is on the decline. Many factors — including the price of oil — point to an economy that's on the mend, but those who suffered significant investment losses due to COVID-19 may not be ready to dive head-first into high-risk investing right now, according to Reed Cagle.

Not Just Jewelry: Reed Cagle Explains Sources Of Gold Demand
Gold holds its value well and has proven a safe and steady investment over time. About half of the gold demand in the world is used for jewelry, while less than 10% is used for technological items.

During times of economic and political unrest, many investors look to gold as a failsafe investment, more likely to create a solid return than investments in real estate or bonds, according to Reed Cagle.

Gold Prices In A Post-COVID World
Reed Cagle states that gold prices are highly reflective of how consumers feel about the economy, and the price of gold may continue to rise. As the economy recovers, inflation is likely to grow, making some consumers feel safe investing in gold. Others may feel more comfortable choosing gold over other investments due to worry that another global pandemic (due to either a new virus or a new variant of COVID-19) could take hold in coming years.

Caroline Hunter
Web Presence, LLC
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