By Sara Sjolin
With Brexit-related turmoil and delayed expectations for the Federal Reserve to raise interest rates, investors can’t seem to get enough of gold: their appetite for the safe haven has just risen to an all-time high, according to the latest flow report from Bank of America Merrill Lynch.
The report, published every Friday, showed $4.1 billion poured into precious-metals funds in the week ended Wednesday, the largest inflow on record. Their data go back to 2005. Precious metals have now seen inflows in 24 of the past 26 weeks, according to the data.
“Gold and silver have soared as investors are forced to hedge against future populist policies,” the BAML’s investment strategy team, led by Michael Hartnett, said in the report.
Gold GCQ6, -0.43% has jumped almost 8% and silver SIU6, +0.69% has rallied 14% since the U.K. in a June 23 referendum surprisingly voted to leave the European Union. The vote sent shock waves through financial markets and spooked investors into safe havens such as precious metals and the Japanese yen USDJPY, -0.17%.