China is dumping a record number of US government bonds. The country is increasing its gold reserves at the same record pace.
This development has been particularly noticeable since 2018, as shown by charts from Bloomberg. Some already see a new trade war emerging between the two economies. Gold prices have taken a short break, although industry experts do not expect any major setbacks. This is because many, including central banks, use weaker prices to buy in. The gold price has now experienced a small recovery, probably because US economic data has just been worse than expected. This could bring interest rate cuts closer again. Looking at the gold price from a seasonal perspective, June is the weakest gold month of the year. Last year, June saw a drop of just under five percent. However, this was during a period of rising key interest rates. From the end of May 2023 to the end of May 2024, the price of the precious metal rose by 17%. Inflation was 6.1% in May 2023 and 2.4% in May of this year. So, gold fans have made good money.
Experienced investors are taking advantage of price weaknesses to enter the market. And more and more people are saying that commodities have never been as undervalued as they are today. This includes gold, along with silver, copper and uranium. In the case of gold, it is the central banks in particular that are supporting the price. Geopolitical tensions have also intensified rather than weakened. Investors should continue to do everything right when betting on gold.
Among the gold companies, Fury Gold Mines - https://www.commodity-tv.com/ondemand/companies/profil/fury-gold-mines-ltd/ - is a good example. The company has high-quality projects in Quebec and Nunavut as well as a large block of shares in Dolly Varden Silver.
OceanaGold - https://www.commodity-tv.com/ondemand/companies/profil/oceanagold-corp/ - produces successfully and owns four gold mines. These are located in the USA, the Philippines and New Zealand. OceanaGold also has strategic investments and holdings in two exploration companies.
Current company information and press releases from OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -) and Fury Gold Mines (- https://www.resource-capital.ch/en/companies/fury-gold-mines-ltd/ -)
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
This development has been particularly noticeable since 2018, as shown by charts from Bloomberg. Some already see a new trade war emerging between the two economies. Gold prices have taken a short break, although industry experts do not expect any major setbacks. This is because many, including central banks, use weaker prices to buy in. The gold price has now experienced a small recovery, probably because US economic data has just been worse than expected. This could bring interest rate cuts closer again. Looking at the gold price from a seasonal perspective, June is the weakest gold month of the year. Last year, June saw a drop of just under five percent. However, this was during a period of rising key interest rates. From the end of May 2023 to the end of May 2024, the price of the precious metal rose by 17%. Inflation was 6.1% in May 2023 and 2.4% in May of this year. So, gold fans have made good money.
Experienced investors are taking advantage of price weaknesses to enter the market. And more and more people are saying that commodities have never been as undervalued as they are today. This includes gold, along with silver, copper and uranium. In the case of gold, it is the central banks in particular that are supporting the price. Geopolitical tensions have also intensified rather than weakened. Investors should continue to do everything right when betting on gold.
Among the gold companies, Fury Gold Mines - https://www.commodity-tv.com/ondemand/companies/profil/fury-gold-mines-ltd/ - is a good example. The company has high-quality projects in Quebec and Nunavut as well as a large block of shares in Dolly Varden Silver.
OceanaGold - https://www.commodity-tv.com/ondemand/companies/profil/oceanagold-corp/ - produces successfully and owns four gold mines. These are located in the USA, the Philippines and New Zealand. OceanaGold also has strategic investments and holdings in two exploration companies.
Current company information and press releases from OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -) and Fury Gold Mines (- https://www.resource-capital.ch/en/companies/fury-gold-mines-ltd/ -)
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
