The US dollar has gained over 10% against the Japanese yen in recent weeks and is on track to hit a record high against the euro in 2019.
But the euro has risen by just 0.6% in the same period, while the British pound is up 0.1%.
The big question: Will gold become more popular than the euro?
That’s the question posed by a group of leading gold traders at a recent conference in London.
They pointed to a number of factors, from the rise in gold prices to the rise of emerging markets such as China, to the fact that a lot of money is invested in gold.
What’s more, the US government is considering a plan to move the Federal Reserve’s benchmark interest rate to 0.5% in a bid to stimulate the economy.
Gold has been trading at around $1,300 an ounce for a while now.
“We believe that it will continue to be one of the strongest assets,” said Ben Bernanke, the former Fed chairman who now heads the Bank for International Settlements.
Gold prices have risen because of strong demand for the metal, according to Andrew C. Smith, an analyst with the London-based investment bank Macquarie Group.
It is cheaper than the dollar.
But there’s a catch: Gold is not as cheap as it once was, and it is not a store of value.
The dollar is more stable and the price of gold is still more than double the price that it was at last year.
“Gold is an asset that will be around for a long time,” said Mr Smith.
“It is still the best store of wealth.
Gold is still cheaper than many currencies around the world.”
However, Mr Smith said that he does expect gold to decline slightly in the future.
In 2019, the Fed will hike the benchmark rate from 1.25% to 1.5%, with a goal of ending interest-rate cuts by the end of this year.
A big drop in the price could mean a lot more gold in the hands of consumers.
While Mr Smith says gold could be a safe haven for some investors, it also is likely to be an attractive investment for speculators.
When people buy gold they are buying the same stuff that people buy in the real world, he said.
However Mr Smith pointed out that the average investor in the US buys gold because of the promise of returns.
So while the dollar has been a good investment, he is sceptical about the prospects for gold over the long term.
Mr Smith said the only silver to go up is the precious metal in the bank notes.
He also noted that the price is likely not to rise too much because it is being driven by speculation and because gold is only a small part of the global economy.
This is because it makes up only a fraction of what the world exports, and that figure is shrinking as the rest of the world becomes increasingly integrated.
To put the numbers in perspective, the United States is responsible for roughly 1.2% of global output.
Meanwhile, China is the world’s biggest consumer of precious metals, with China importing $1.1 trillion worth of gold last year, according the US Census Bureau.
According to the United Nations, the world now has a $1 trillion surplus in gold reserves, with around $400 billion in deposits.
China is a major exporter of silver, with the country importing around $6 billion worth of silver last year and exports about $2.7 billion worth.
And in recent years, the value of silver has been on a steady decline.
Last year, it fell by about 3% as prices for gold rose.
On Wednesday, the Chinese government announced that it would increase taxes on gold to 10% from 5%.
Gold is currently around $2,500 an ounce, so if China increases the tax, the price would rise by about 6%.
And there are other countries that could see their gold prices rise, including Japan and Australia.
Why do gold prices continue to rise?
The US is not the only country that has seen gold prices soar.
Australia, where Mr Bernanke served as treasury secretary, has seen its gold prices rocket over the past year.
In February, the Australian dollar hit a new high of 1,717.40 US cents, while it was trading at about $1.,200 an ounce.
That followed an increase in gold imports of more than 2,500 tonnes, or more than 1% of the country’s gross domestic product.
Japan’s gold prices jumped by nearly 3% in March alone.
Brazil, the biggest gold exporter, saw its gold price rise by over 6% over the same time.
Italy’s gold price surged by more than 7% in September.
India’s gold surged by over 12% in October.
Emerging markets are also seeing a lot