Risk aversion persists in the markets. Investors are fleeing to safe havens. at the price of gold. However, the fear of inflation no longer occupies the first place among the threats.
Gold prices are rising. 2023 will bring new records and some analysts even claim that we will see the highest bullion valuation in history. This is a clear signal that investors do not want to risk, still worrying about the state of the global economy.
Are investors no longer afraid of inflation?
According to a survey conducted among investors by the international center Euroasia Group, 2022 was marked by fears about rising inflation and the associated possibility of a recession. However, the beginning of the new year brings surprising results of the study.
The results show that although inflation-related shocks still rank high on the list of concerns for people investing their assets, the main threat, in their opinion, is already different than last year.
Russia and China are more dangerous than inflation
According to the latest edition of the study, inflationary shocks are only fourth on the list of problems. In third place is emerging AI technology, which can generate increasingly misleading and life-like messages that can affect the market.
In second place, investors put the imperialist tendencies of China and its President Xi Jinping. The 20th Congress of the Communist Party of China ended with the greatest powers granted to the leader since Mao Zedong.
Rogue Russia tops the list of investor fears. The unsanctioned terrorist activities of Vladimir Putin in Ukraine are leaving many markets in constant chaos. The Kremlin has also tried, and somewhat succeeded, to paralyze the energy market in Europe. Investors are afraid of the next steps of the President of Russia.
Source: Wprost
