Russia's war against Ukraine is driving the price of gold higher and higher.

The price of a troy ounce (31.1 grams) peaked at $2021 on Tuesday.

Gold is thus approaching its record high from August 2020, when the gold price had climbed to $ 2075.

Recently, the price of gold fell back a bit and was trading at $2005.

Gold remains in demand as a safe haven in view of the Ukraine war and the high degree of uncertainty.

So gold index funds have received massive inflows.

The price of gold had already risen in the run-up to the war.

Since the beginning of the invasion of Russia, the increase has accelerated.

The crisis is fueling fears of even higher inflation.

Russia is a major supplier of oil, gas and other raw materials.

Western sanctions or export restrictions from Russia could drive prices up even further.

Many investors are hoping for inflation protection from gold.

This is all the more true as the situation for the central banks is becoming increasingly difficult.

After all, the war not only drives up inflation, but also weighs on economic growth.

Calculated in euros, the gold price reached a new record high of 1861 euros on Tuesday.

However, the price is also being driven by the euro's recent weakness against the dollar.