With the possibility of the Brexit becoming more realistic, demand for gold coins has been especially strong. Fears are rising on the potential impact of the Brexit, with recent polls suggesting that the ‘leave’ campaign is gaining support as the June 23 referendum approaches.
With the future economy of Britain, Europe and the rest of the world hanging in the balance, investors are looking to hedge against the potential risk with gold coins.
Reuters reports that:
“Demand for bullion bars and coins is rising, with men and women of all ages buying up the safe-haven metal in case of a British exit from the European Union.
Mark O’Byrne, director of Dublin-based gold dealer Goldcore, said the price bounce had already driven a significant demand increase this year, with broader geopolitical concerns also feeding into the rise.”Fears Britain may leave the European Union can be felt in global financial markets as stock markets decline. Citi recently issued a memo, noting that “gold has fluctuated in line with the Brexit opinion polls, even dislocating it from its usual primary link with the U.S. dollar”.
While the fate of the Brexit vote is still uncertain, a “leave” vote would likely result in a price jump, driving demand for gold even higher. With interest in gold surging, some investors are stocking up, while others see this as an ideal time to sell.
Do you own valuable coins? Check out the Coindoc’s page on coin values to see if you could be sitting on a gold mine.
