Rising Global Tensions: Why Iran Matters for Gold Investors

Why Wars and Global Crises Drive Gold Prices Higher & Why Now Could Be the Right Time to Invest

During periods of war, political instability and global crisis, gold has historically performed as a safe haven investment. When uncertainty rises, investors often move away from volatile assets such as stocks and turn to gold to protect their wealth. This trend is supported by decades of data showing that gold prices frequently rise during times of conflict, economic stress and currency instability.

How Gold Performs During Wars and Crises

History shows a clear pattern of gold price strength during major global conflicts:

• 1973 – Yom Kippur War & Oil Crisis: Gold prices surged as energy shortages and inflation rattled markets.

• 1979 – Iranian Revolution & Hostage Crisis: Political upheaval and inflation drove strong demand for gold as a hedge.

• 2003 – U.S. Invasion of Iraq: Gold rose steadily in the months following the invasion amid global uncertainty.

• 2014 – Russia’s Annexation of Crimea: Increased tension in Europe led to a spike in gold prices.

• 2022 – Russia–Ukraine War: Gold exceeded $2,000 per ounce shortly after the conflict began as investors sought safety.

These examples highlight how gold prices tend to react positively to war and global instability, particularly when confidence in currencies and financial markets weakens.

Gold often rises during times of conflict because it is seen as a safe haven asset. When markets become unstable, investors turn to gold to protect their wealth. Wars can also weaken currencies and increase inflation through higher government spending, making gold an attractive hedge that helps preserve purchasing power during uncertain times.

Rising Global Tensions: Why Iran Matters for Gold Investors

Global uncertainty is once again in focus due to escalating tensions involving Iran. Recent developments and military rhetoric have increased concerns about potential conflict, especially in a region critical to global energy supply.

Even without a full-scale war, heightened political and military tension alone can impact markets, disrupt supply chains and increase investor demand for gold. Historically, this type of environment has often preceded gold price rallies.

Why Now Could Be The Best Time to Invest in Gold

✔ Gold often moves before conflicts fully unfold
✔ Demand increases as investors seek stability
✔ Central banks frequently increase gold reserves during uncertainty
✔ Gold supports long-term wealth preservation and portfolio diversification

Final Thought

While no investment is without risk, history suggests that gold can play a valuable role during periods of war, global instability and economic uncertainty. With tensions rising and markets on edge, investors may wish to consider whether gold has a place in their portfolio.

Thinking about protecting your wealth during uncertain times?

Explore our range of physical gold products or speak to a Roman Brothers specialist today to find out how investing in gold could help safeguard your portfolio, contact info@romanbrothers.co.uk or 0208 080 2848.