The value of precious metals is increasing in London as gold, silver and palladium are fulfilling a demand for investment alternatives to currencies, Bloomberg reports.
As worldwide governments attempt to spark their nations' economies by pumping more money into them, the value of the dollar is going down. That boosts the price of precious metals, which can serve as insurance against shaky economies and currencies.
"Paper money is being printed and printed, but there’s no other alternative," C.S. Oh, head of the overseas futures team at NH Investment & Futures Co. in Seoul, told Bloomberg. "There's no change to the fundamentals in the gold market. The dollar looks a bit stronger now, but it’s poised to weaken in the long term."
Thus far this year, gold's value has increased 27 percent, silver's has gone up 63 percent, palladium has reached a nine-year high, and platinum reached its highest levels since July 2008.
Additional uses for palladium and platinum include jewelry and cars' pollution control devices.
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