Employing math is a thing of the past! Or to reprise what a seasoned investor said to us here back in April: “Nobody at Goldman [today] has ever experienced a down market.”
Central banks and Chinese investors are likely to continue reallocating capital into gold. American stock investors have massive room to buy. Gold’s usual autumn rally could prove the start of this bull’s next surge higher.
Gold tends to lead a new inflation cycle, sometimes by a country mile. Silver is catching on. The CRB index is poised, and TSX-V is trending. What’s missing from the picture?
When you look at gold for the week, with all that's going on, you're down 1.2 percent. You have a higher high and a lower low, that is not a bold move at this point in time.
A wise investor or trader will tune out war/politics and inflation noise and focus on what matters: gold’s relationship to cyclical and more inflation-sensitive markets.
Gold rose 3.7% this past week and is now just shy of new highs over $3,500, closing at $3,431. New highs could come early this week as the global and domestic situations worsen.
June 18, the FOMC delivers its next Policy Statement. Expectations call for the voting to maintain the target range for its Funds Rate at 4.25%-to-4.50% regardless of the faltering Econ Baro.
