More Britons are rushing to buy gold which hit a record price high after Donald Trump’s tariffs mayhem wiped trillions off the value of shares.
The precious metal smashed through the 3,200 US dollars (£2,442) per ounce mark on Friday morning, its highest ever price.
The Royal Mint, which is the UK’s official maker of British coins, said it had seen a jump in demand for gold coins and bars.
Toby Osborne, the company’s head of wealth management, said: “Amid escalating trade tensions between the US and China, we’ve seen more customers purchasing physical gold such as coins and bars from the Royal Mint website.
“With markets facing uncertainty, gold remains a trusted store of value.”
He added that silver was also “gaining popularity, serving as an accessible entry point for investors” while gold trading hit all-time highs.
Pawnbroker and retailer Ramsdens earlier this week said higher gold prices, and an increase in the weight of gold purchased by buyers, had helped drive a 50% surge in profits for its precious metals division.
Analysts said the gold price spike reflects investors searching for so-called “safe haven” assets.
These tend to carry less risk than other investments, such as stocks and shares, and often outperform financial markets during periods of turbulence.
Sean Hoey, managing firector of IBV International Vaults London, Europe’s safest private vault provider, said: “As the volatility of US tariff policies continues to wreak havoc on international markets, we are seeing a significant rise in investor demand for safe-haven assets such as gold.”
Richard Hunter, head of markets at Interactive Investor, said investors “headed to the door once more in search of haven assets” following a “brief relief rally” in equity markets.
UK and European stocks surged higher on Thursday as traders welcomed Mr Trump’s decision to push back the introduction of some US tariffs on dozens of countries by 90 days.
But concerns over the impact of new and higher import taxes remain prominent, while the prospect of all-out trade war between the US and China has intensified, causing fresh market turmoil.
Investors often pile into buying dollars during global crises.
But with Trump in the White House and the shock of his tariffs trade war, investment has been flowing “towards currencies such as the Swiss franc and the yen”, Mr Hunter added, while the US dollar has slumped in value in recent days.
Meanwhile, UK and European stock markets opened higher on Friday, but gains were swiftly reversed as tensions between China and the US continued to ramp up.
But it was a rollercoaster day for London’s FTSE 100, dipping into negative territory before recovering, with a similar pattern for the Dax in Frankfurt and the Cac 40 in Paris.
Even some of Trump’s staunchest of supporters, including Reform UK leader Nigel Farage, are declining to back his wave of tariffs.
