The Bank for International Settlements (BIS), known as the central bank of central banks, has issued a critical warning about a double bubble in gold and stocks: the simultaneous explosive rise in gold (+60% in 2025, the highest since 1979) and stocks driven by artificial intelligence.
This joint “explosive behavior” with the S&P 500 is raising fears of a double bubble that threatens global financial stability. Hyun Song Shin, head of the BIS Monetary Department, points out that gold now acts as a speculative asset, not a traditional safe haven.
YOU MAY BE INTERESTED IN: Senator pushes initiative to eliminate dual citizenship in the United States
Warning Analysis by BIS: What Makes This “Double Bubble” So Dangerous?
If gold and stocks collapse together, investors will lack a safe haven, affecting the reserves of central banks that are major buyers of bullion. Gold has accumulated +150% since 2022 due to post-COVID inflation, the war in Ukraine, and sanctions against Russia. Gold ETFs are trading at a premium to NAV due to retail pressure and arbitrage impediments. Fragility is growing with 20% drops in bitcoin and AI risks.
BPI warns of “growing fragility” risk; ECB and Bank of England concerned about AI bubble despite real benefits vs. dot-com 2000.
Data that Alarmed the BIS: Key Indicators of Overheating
Gold +60% 2025 (record 1979), S&P 500 explosive; first perfect correlation in 50 years. Retail investors pile into gold ETFs; central banks set firm prices. Dollar falls further since Lehman 2007. AI consumes massive data centers; long-term justification uncertain.
BPI brings together global central banks; periodic bubble alert. Managers concerned about reserves and stability. Economy resilient so far; 2026 decisive.
YOU MAY BE INTERESTED IN: Trump wins the 2025 FIFA Peace Prize: The most unexpected recognition
BPI alert calls for vigilance; double gold-stock bubble could destabilize markets. Investors diversify; central banks monitor. Economic resilience key in 2026.
