Attack on Israel was shocking. Investors are looking for "safe havens"
Gold has risen in value, while the dollar has strengthened along with so-called safe currencies. At the same time, demand for US treasury bonds increased. Investors are seeking "safe havens".
Oct 10, 2023 | updated: 2:23 AM EDT, October 11, 2023
The investor scenario for turbulent times is coming true. Gold is in demand. The ounce of gold has increased by 2 percent, to 1849 dollars.
Along with reports on the situation in Israel, the dollar exchange rate and so-called safe currencies strengthened: the Swiss franc and Japanese yen. On the other hand, emerging market currencies suffered because "in uncertain times investors flee from risk" - explains the newspaper.
"The zloty is not bothered by the situation in the Middle East at all" - comments Dr. Przemysław Kwiecień, chief economist at XTB.
These industries suffer the most
The global economy has felt the impact of the oil price surge, which we wrote about on. The war in Israel has already hit tourism and carriers.
Prices of airline stocks fell on the exchanges. "Almost the whole world used to fly to Israel, but now only a handful of airlines are left there, including two Israeli ones - El AL and Israir, which the government in Tel Aviv has ordered to keep operating as usual, three Turkish ones - Turkish Airlines, Pegasus and Corendon, Czech Smartwings, and Serbian Air Serbia" - the newspaper listed.
