It is actually far too early to draw a conclusion on the consequences of the Corona crisis. Nobody can reliably say whether the worst is already over or whether we must expect a second wave.
However, the US Federal Reserve is certain that the effects will continue to accompany us over the next few years. On 10 June, for example, the FED decided that interest rates would remain in a range between 0.00 and 0.25 percent. Moreover, it even hinted that this level would probably be maintained until the end of 2022.
Similarly, the so-called „Quantitative Easing“, the purchase of US government bonds, will continue until further notice at USD 80 billion per month.
For the gold price, this means long-term support from monetary policy. Both of these instruments should support the gold price.
The demand side is currently behaving very differently. While demand for jewelry has recently declined significantly worldwide, demand for investment gold remains enormously high.
We expect share prices to remain at the current level in the coming months. However, if the crisis does not worsen again, extreme price rises are not expected.