The smart money, large institutional money, who understands diversification and gold’s function as a store of value continues to diversify into gold. There is an awareness of gold’s benefit as a hedging instrument and safe haven asset but also an awareness that the outlook for prices at these still depressed levels is very positive.
This is seen in the view of Berenberg, which is in the fifth century of its existence and one of the oldest owner managed banks in the world, who see gold returning to 2012 levels at $1,900/oz per ounce.
The less informed money continues not to appreciate the risks that are again building in the system. Risk appetite remains high and there is a distinct lack of awareness regarding how risks, such as BREXIT, may impact financial markets and traditional assets such as stocks, bonds, property and indeed deposits. - Zerohedge