Gold has had a long history as a store of value in human civilization. Even in the 21st century, the yellow metal is used by many as an alternative store of value against fiat currency. These investors can invest in gold through many avenues. Some gold bugs swear by the store of physical gold as the one true hedge against the instability of fiat. However, there are many others who are happy to invest in gold mining stocks, and gold focused mutual funds or exchange-traded funds (ETF).

The yellow metal has been battered since the end of July 2023. Central banks across the developed world have committed to a stringent interest rate tightening policy since countries were impacted by soaring inflation in late 2021 and through the first half of 2022. The United States Federal Reserve has followed this same policy. That has beefed up the value of the U.S. dollar (USD) but put increasing pressure on the spot price of gold.

A recent news story that made waves reported that Costco had nearly sold out of its newly offered gold bars at the time of this writing. This illustrates the continued interest of investors in physical gold as a store of value, especially in a difficult economic period.

Newmont (NYSE:NEM) is the largest gold producer trading on the U.S. market. Its shares have been hit hard over the past several months, mostly tracking with the poor performance of the yellow metal. However, shareholders do get a solid dividend yield out of owning this top gold stock.

Royal Gold (NASDAQ:RGLD) is another top gold stock based in the U.S. Shares of Royal Gold hit a 52-week high of $147.82 per share during the spring of 2023. However, the stock has steadily declined since reaching that top.

Gold may be reeling right now, but history has shown that it can be a very valuable hedge during periods of extreme turbulence. The current economic environment is flashing troubling warning signs, which could mean that the yellow metal could find its way out of the investing dog house over the next year.