The factors influencing the rise and fall of gold Gold has been the most ancient form of investment. Before the time when there were no mutual funds, fixed deposites, stock markets, investment in gold was the only time tested tradition. Central banks across the world have used gold as the most ideal hedge against volatile economy. World banks won't say it loud that gold reserves in world banks go into stabilizing the economy. Since a few months there has been a steep rise in the price of gold. Trading at INR 50,000, it has turned eyeballs and investors are inquisitive to explore the price spike since it has always been a safe haven against risky commodities.