Gold investment has surged as fund managers flee oil futures amid market volatility

Global markets have responded to tariff disruptions, with oil prices and Treasury yields falling sharply. Economists warned of potential recession due to weakened energy demand. Investors have sought safer assets like Treasury bonds, while crude oil prices recently dropped 15%. Trump wrote, “Oil prices are down, interest rates are down. We have everything down at levels that nobody ever thought possible.” De Haan said, “In addition to falling oil prices, the stock market has dropped sharply, and the risk of a recession has increased – raising the likelihood of reduced global energy and oil demand, which is sending prices lower.”

            Gold investment has surged as fund managers flee oil futures amid market volatility. Demand for gold has set record highs, marking a shift to risk-averse assets. Experts consider lower oil prices and borrowing costs as temporary consumer benefits. However, these trends indicate shrinking economic output and recession risks. Treasury yields, which move inversely to bond prices, have dropped below 4% because of increased demand for safe investments. Stocks have seen reduced activity as a result.