More people bought physical gold this morning than on the day after the Brexit vote, according to The Pure Gold Company. The investment firm has had a record number of enquiries today and over the weekend from people looking to purchase physical gold after North Korea tested a hydrogen bomb and the U.S warned of further sanctions and the prospect of a ‘massive military response’.
Josh Saul, CEO of The Pure Gold Company said: “This weekend enquiries were up 176%. Just this morning alone, we’ve been taking orders since 5am and first time buyers of physical gold have increased by 114%. The number of people purchasing gold this morning has outperformed the number the day after the Brexit referendum on June 24th when the gold price in sterling terms increased 26% in 24-hours.
“Many clients are very concerned that matters could escalate quickly and with the threat of nuclear weapons (on both sides) some fear the worst. People are increasingly questioning to what extent US allies are also a target? Gold has increased by 1% this morning and over 8% since the beginning of August, with many analysts predicting further increases in the gold price on the back of such severe uncertainty and volatility in financial markets.
“We’ve seen an 89% increase in financial professionals purchasing physical gold. They cite the same geopolitical fears and are buying to protect themselves from the systemic financial consequences of increased volatility and uncertainty, which may ultimately lead to currency and equity market crashes.
“Increasingly, our professional clients mention that President Trump’s pledge to stop doing business with any country that still has relations with North Korea could have severe financial implication, as it would mean possibly no trade with China, India, Mexico and France to name a few.”