Gold prices have skyrocketed by 17% in 2024, driven by a surge in investor interest and a growing trend of seeking out high-return assets amid anticipation of interest rate cuts later this year. This rally has outpaced even the S&P 500, leaving investors eager to join in the gains.

Experts say that investors are increasingly opting for gold as a safe-haven asset due to its resemblance to the price volatility of other major indices like the S&P 500 and Bitcoin. This has prompted a buying spree not only among shoppers, who are flocking to Costco in search of gold bars, but also among central banks, who are diversifying their holdings away from the US dollar and hedging against inflation risks.

According to Wells Fargo, Costco has reported estimated monthly sales of gold bars amounting to $100 million to $200 million. The price of gold bars sold by Costco typically exceeds the spot price by nearly 2%, with the spot price standing at $2,430 per ounce at the time of publication.

It's not only shoppers and central banks that are joining the gold craze; hedge funds and other institutional investors are also capitalizing on the precious metal's blistering rise. This institutional pressure is a major factor pushing gold prices higher, say experts.

Interestingly, the surge in gold prices has occurred despite low activity in gold exchange-traded funds (ETFs), which have experienced a net outflow of funds over the last 10 months. This suggests that retail investors are not the primary cause of the price increase.

Gold is widely regarded as a hedge against geopolitical unrest and serves as a safe store of value during times of uncertainty. The World Gold Council predicts that global disruption could further drive up gold prices in 2024. However, some experts, like Campbell Harvey, cast doubt on the role of geopolitics in the price surge, as it did not align with the outbreak of the Israel-Gaza war in October.

Investors interested in gold have various options available, including purchasing gold bars or investing in gold ETFs. They can also consider buying shares in gold mining companies or investing in gold futures, which involve betting on the movement of gold prices.

Despite the significant gains, cautious experts like Campbell Harvey advise against investing in gold at its all-time high, as historically, bullion tends to generate modest returns following such peaks. UBS projects the price of gold to rise to $2,500 by the end of the year.

As uncertainty continues to cloud the investment landscape, investors are flocking to gold as a reliable store of value. Whether this trend persists remains to be seen, but for now, gold remains an attractive option for those seeking stability in tumultuous times.

Note: This article is based on information provided by ABC News and Wells Fargo, among other sources.