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Stock Market: Gold Outperforms The CAC 40 Thanks To Massive Purchases By Russia!

Tue 17 Sep 2024 ▪ 3 min read ▪ by Eddy S.
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Since the beginning of the summer, gold has significantly outperformed the CAC 40 and the French real estate market. This trend is largely supported by massive purchases from Russia, which seeks to diversify its reserves and protect against global economic uncertainties, particularly in the stock markets.

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Stock Market: Russia propels Gold above the CAC 40!

Since summer began, gold has continued to rise, surpassing the performance of the CAC 40 and the French real estate market. While the Paris stock index fell by 3% since June 21 and real estate prices continued to decline, the price of gold increased by 8% over the same period.

This significant rise in gold is partly due to increased demand from Russia, which has intensified its gold purchases. This strategy aims to diversify its reserves and protect against global economic fluctuations. Indeed, gold is often considered a safe haven in times of economic and geopolitical uncertainty.

The performance of gold contrasts sharply with that of the CAC 40, the French stock index, which has suffered losses due to economic instability and concerns about long-term interest rates. Additionally, the French real estate market has also suffered, with continuously declining prices reflecting weakened demand and stricter credit conditions.

An opportunity for investors?

The current trend shows that gold could continue to benefit from central bank demand, particularly from Russia, which is seeking to strengthen its gold reserves. This dynamic could support gold prices in the medium term, offering a stable alternative for investors in the face of volatility in stock and real estate markets.

Gold has not only widened the gap with the CAC 40 and real estate, but has also demonstrated its resilience as a safe haven asset. Russia’s aggressive buy strategy could continue to positively influence gold prices, thereby offering an opportunity to stock market investors seeking to diversify their portfolios in this uncertain economic context.

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Eddy S. avatar
Eddy S.

Le monde évolue et l'adaptation est la meilleure arme pour survivre dans cet univers ondoyant. Community manager crypto à la base, je m'intéresse à tout ce qui touche de près ou de loin à la blockchain et ses dérivés. Dans l'optique de partager mon expérience et de faire connaître un domaine qui me passionne, rien de mieux que de rédiger des articles informatifs et décontractés à la fois.

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.