Tony Coleman: New Zealand Gold Merchants spokesperson on the price of gold soaring higher than ever

Amid worldwide economic turmoil, the price of gold has hit a record high this week.

It's broken through the US$3000 per ounce mark - and is currently up 15 percent since the start of 2025.

Tony Coleman from New Zealand Gold Merchants says gold's been accelerating in price since the start of the Covid-19 pandemic - and Trump's second term as President has also helped push up the value. 

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Episode Transcript

Speaker 1 (00:00):
Price of gold, speaking of charging for this certainly has
been heading record highs. This week, broken through the three
thousand US dollar and ounce mark and is now up
fifteen percent since the start of twenty twenty five. Tony
Coleman from New Zealand Gold Merchants is on the line
with us Tony, good evening.

Speaker 2 (00:17):
Hey, Ryan, how are you.

Speaker 1 (00:18):
I'm very well, thank you. What is attracting everyone to gold?
Presumably it's everything else going a little bit belly up?

Speaker 2 (00:25):
Well, I think you're right. I think there are three
main reasons, and it's Trump, Trump and Trump. I mean,
we're talking about Trump tariffs, We're talking about Trump being
creating a recession and creating falling markets and the geo
political uncertainty that Trump is trying to effect. SPAD is

(00:46):
not doing very well at the moment.

Speaker 1 (00:48):
What returns would you normally see, Like, fifteen percent since
the start of twenty twenty five is obviously massive, It's
up there with the increase in European share markets. Actually,
funnily enough, another place they see safe. But what would
you normally see in your typical year for gold.

Speaker 2 (01:04):
Well, gold's been accelerating in price over the last few
years since COVID. Really we saw in kibi dollars approximately
a fifty percent return on investment last year, and it's
accelerated from January three February mainly because of the Trump effect.

(01:25):
And I mean by that nobody really knows what markets
are doing. The tariffs have made us purchases importers by
a lot of gold in the COMX market and stand
for delivery. That means instead of taking a profit when
a future expires, they're wanting the metal. This has caused

(01:45):
a lot of upheaval and we're now having to move
gold from London to New York to certify that need.
And that's about one point six one hundred and sixty
metric tongues, which is about fifth been billion dollars just
for the February contract, which is enormous.

Speaker 1 (02:04):
Do you when you say we have to move it
from London to New York, do you mean physically.

Speaker 2 (02:09):
It's physically moved. So normally delivery would be five to
ten days out of New York, and we're talking eight
to twelve weeks now because they had to move physically
gold from the Bank of England to Comax ah Row.

Speaker 1 (02:24):
Presumably you need a bit of security for that.

Speaker 2 (02:28):
Yes, I'm not sure it's going on a domestic flight,
but my guess is that these things are all moved
in a highly secure manner, as all gold is typically
around the world these days.

Speaker 1 (02:38):
How much do we invest in gold New Zealanders? Are
we quite hot on it?

Speaker 2 (02:44):
Well, we're a small market. We anticipate that the gold
market in New Zealand is approximately zero point five percentage
point of total investment, so it is a relatively small market,
though it is growing. We seeing people that understand finance
in the market a lot more than people that are

(03:07):
just using savings accounts through banks and kbsever. In fact,
to try and fix that, we've just launched our new
product called gold sever which allows anyone to buy gold
for as little as fifty dollars a month stored in
physical metal for them. So we're hoping that these sorts
of initiatives will change the market in time.

Speaker 1 (03:28):
Make it a bit more tangible for people too, probably
as well.

Speaker 2 (03:31):
Tony Apprecia, Well, it's better than holding it in a
currency that is the worst performing in the OECD last year.

Speaker 1 (03:39):
Good point, Tony calemn Enz Gold Merchants

Speaker 2 (03:42):
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