The gold price has once again broken its previous high. Investors are still buying stocks, but it seems they want to be covered in case of any market correction. It is little surprise that the original safe haven is continuing its rally, simply because the number of buyers is comfortably exceeding the number of sellers.
It is worth pointing out that in March there was not an immediate panic selling of gold but in the very short-term bullion was sold as investors were looking for easy cash in order to avoid margin calls from other losing positions. This could happen again temporarily if there was a violent correction on indices, but the long-term direction is clearly positive.
