Because of the regional uncertainties, Lithuanians are stocking up gold bars and coins. The head of a mint says it is often the case that investments flock to gold during crises, reports Lithuanian National Broadcaster LRT.
The only mint in the Baltics has few gold products left in its shop, a few gold–plated angels, coins and gold bars.
The mint’s director Linas Veikalas tells LRT TV that People joke on money disappearing quickly, while gold is stable and easy to sell.
Compared to last year, gold sales in 2022 went up several times, he says.
In particular, the uptick followed the beginning of the war in Ukraine.
«Historically, gold would always appreciate when a crisis hits, which is the opposite of securities or bonds. It was more of a crisis investment instrument.», explains Linas Veikalas
Looking at the whole situation, looking at today’s inflation, we expect the price of gold to rise, which will automatically lead to an increase in its demand,” he explains.
When the war started, the price and demand for gold rose literally by the hour, says Vytautas Jonutis, creative director of the jewelleey shop Premiere. Investment gold was swept off the market. Jewellers, meanwhile, have not been raising the price of their gold products yet.
«What I notice is that people come in, they want it to be a piece of jewellery and they want it to be an investment. People are getting a bit more selective, they’re no longer splashing money left and right to buy anything,» he says.
According to Jonutis, the price of gold depends on the stock exchange and can fluctuate on a daily basis.
One important factor, he adds, is a ban on Russian gold.
According to commercial director of Eurodata Erikas Daukša, who sells investment gold and coins online, demand for gold has risen tenfold since the end of February.
«People have been waiting for gold even by pre–ordering, with waiting times of about a month or more,» he says.
Gold bars remain the most popular form to buy the precious metal. People are investing in larger ones, weighing up to a hundred grams.
«A 10-gram bar costs around 600 euros, a 1-ounce bar costs around 1,800, a 50-gram bar currently costs 2,900 and a 100-gram bar costs between 5,600 and 5,700 euros,» commercial director of Eurodata Erikas.
Coin prices range from a few dozen euros to around three thousand euros.