This chart explains why gold has been so volatile lately

Core Viewpoint - Gold prices have been highly volatile recently, driven by increased investment demand as individuals stockpile gold as a hedge against geopolitical uncertainties [1] Group 1: Investment Trends - Individual investors have begun to mimic global central banks by increasing their gold holdings, particularly in physical bars and coins [1] - Inflows into global gold exchange-traded funds (ETFs) reached a record monthly high in January, significantly contributing to market volatility [1] Group 2: Market Implications - The surge in gold ETF inflows may lead to more short-term selloffs in the gold market, indicating potential instability in prices [1]