Contact us
CALL US NOW 1-888-GOLD-160
(1-888-465-3160)

Brits Go on a Gold Buying Spree

  by    0   0

If reports from two major London gold dealers serve as any indication, a lot of Brits are buying gold.

According to a report in Business Insider, Sharps Pixley reported a whopping 253% year-on-year increase in physical gold sales in March. Showroom sales last month came in at over $12.7 million compared to $3.6 million during the same period in 2017.

Meanwhile, according to Investment Europe, the Pure Gold Company recorded a 62% increase in physical gold investment last Wednesday compared to the daily average. 

Officials for both companies said safe-haven investing seemed to be driving the increase in physical gold sales. Sharps Pixley’s CEO Ross Norman said customers expressed concern about the escalating trade war between the US and China, along with more general worries about geopolitical tensions in the Middle East and Korea.

Gold has a record as a long-term wealth preserver for over 4,000 years and never more so than during periods of turmoil.”

Many people in Great Britain are also still jittery about the long-term impacts of Brexit. There was a major rush into gold in the UK leading up to and after the Brexit vote in 2016. One gold company CEO reported some people converted as much as 40 to 50% of their net worth into physical gold in the weeks after the UK voted to leave the EU.

Norman said a lot of new buyers are investing in gold. He told Business Insider the biggest area of growth was in younger clients and entrepreneurs.

Business Insider noted that Sharps Pixley is credited with being the first company in London to make physical gold and other precious metals easily accessible to cash buyers on the high street and individuals on the open market.

Pure Gold Company chief executive Josh Saul also said he was seeing a lot of younger buyers getting into gold. Saul said worries about property values have pushed a lot of Brits to consider precious metals.

Property market risk is a recurring concern for many UK buyers of physical gold. Our clients are not necessarily looking for growth in the gold price, rather they use the precious metal as a hedge against risk, knowing that if the gold price does increase it usually means losses elsewhere in their portfolio.”

Investment Europe noted that there are indications that we may see a squeeze on the gold supply in coming years. The publication quotes a World Gold Council report projecting plateauing mine production.

New mine starts in recent years have mostly served to fill the gap left by production losses elsewhere, which has led to a relative plateauing in global output.”

Business Insider said the increase in physical gold demand in Great Britain could be a sign that we will see an increase in the price of gold in the near future.

 In February 2018 CNBC reported that conventional market wisdom predicted ‘wild market swings’ which could boost the price of gold. Yesterday’s announcement by Sharps Pixley might be one indication that this is correct.”

Get Peter Schiff’s most important Gold headlines once per week – click here – for a free subscription to his exclusive weekly email updates.
Interested in learning how to buy gold and buy silver?
Call 1-888-GOLD-160 and speak with a Precious Metals Specialist today!


Related Posts

Gold Hits New All-Time Record High

Gold hit a new all-time nominal high, surpassing the previous record set in December of the previous year. The precious metal’s price reached approximately $2,140, indicating a robust and continuing interest in gold as a safe-haven asset, despite a rather peculiar lack of fanfare from the media and retail investors. This latest peak in gold […]

READ MORE →

Is a Weak Yen Feeding the Global Gold Bull?

The gold price has been surging, with unprecedented central bank demand gobbling up supply. It has been a force to behold — especially as US monetary policy has been relatively tight since 2022, and 10-year Treasury yields have rocketed up, which generally puts firm downward pressure on gold against USD. 

READ MORE →

World Gold Council: “Blistering Central Bank Buying” Fuels Strong Gold Demand

Total gold demand hit an all-time high in 2023, according to a recent report released by the World Gold Council. Last week, the World Gold Council (WGC) released its Gold Demand Trends report, which tracks developments in the demand for and use of gold around the world. Excluding over-the-counter (OTC) trade, 2023 gold demand fell slightly from 2022 […]

READ MORE →

VIX – The Calm Before the Storm

The VIX, often referred to as ‘Wall Street’s fear gauge,‘ is currently portraying a sense of calm among investors, registering well below the 20 level. 

READ MORE →

Four States Consider Lifting Taxes on Precious Metals

Citizens of Georgia, Kentucky, Wisconsin, and Kansas may soon enjoy lower taxes on precious metals if recently introduced pro-metal bills are made law in 2024.

READ MORE →

Comments are closed.

Call Now