Gold Surge Sees Shift to Speculative Asset From Haven, BIS Says

Retail investors drove the recent gold price surge, pushing bullion out of its traditional safe haven pattern to a more speculative asset, according to the Bank for International Settlements.

While the rally may have been stoked by institutional traders seeking safe haven exposure amid growing doubts about stretched equity valuations, there’s evidence that it was amplified by retail investors trying to take advantage. That prompted a shift away from usual patterns, the Basel-based institution said Monday in its quarterly report on market developments.