Inflation is high, over five percent, so gold prices should pick up.
Basically, the gold price is behaving strangely, it should be higher by now. What's interesting is the model created by the experts at Wisdom Tree, which looked at the price of gold well into 2022. A survey of Bloomberg economists went into the creation of the model. According to the survey, inflation will fall from 5.4 percent in July 2021 to 2.6 percent in the second quarter of 2022. The experts thus agree with the central banks' view that high inflation will only have a temporary effect.
Moreover, should government bond yields rise slightly, and even the currently high inflation ease, the attractiveness of gold would come back into focus, with a negative sign. Many of the Wisdome Tree experts also expect US government bond yields to rise. But they probably also assume that currently the gold price should already be significantly higher. Therefore, they arrive at a gold price of 1,890 US dollars per ounce for the second quarter of 2022 and just under 2,000 US dollars for the end of the year.
Of course, things could turn out differently. There are currently also many indications of this: Inflation remains at a high level and the gold price is rising well above USD 2,000 per troy ounce. If the special value-preserving character inherent in gold finds its way back into the minds of investors and, for example, central banks, the price of gold should rise. Inflation, negative real interest rates, and other uncertainties and trouble spots that are always there, has prompted many investors to invest in asset classes with higher returns but also greater risks, such as real estate. Many have also switched parts of their portfolios into gold.
Also, not a bad idea are investments in gold companies such as Skeena Resources or Chesapeake Gold.
Skeena Resources - https://www.youtube.com/watch?v=88pChq5Oulg - is reviving the two historic gold mines Snip and Eskay Creek, an excellent gold-silver project. Both are located in the Golden Triangle in British Columbia.
Chesapeake Gold - https://www.youtube.com/watch?v=D-5U6YbRANc - owns the Metates gold-silver-zinc project in Durango, Mexico. An extensive metallurgical test program is currently underway.
Current corporate information and press releases from Gold Skeena Resources (-https://www.resource-capital.ch/en/companies/skeena-resources-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/
Basically, the gold price is behaving strangely, it should be higher by now. What's interesting is the model created by the experts at Wisdom Tree, which looked at the price of gold well into 2022. A survey of Bloomberg economists went into the creation of the model. According to the survey, inflation will fall from 5.4 percent in July 2021 to 2.6 percent in the second quarter of 2022. The experts thus agree with the central banks' view that high inflation will only have a temporary effect.
Moreover, should government bond yields rise slightly, and even the currently high inflation ease, the attractiveness of gold would come back into focus, with a negative sign. Many of the Wisdome Tree experts also expect US government bond yields to rise. But they probably also assume that currently the gold price should already be significantly higher. Therefore, they arrive at a gold price of 1,890 US dollars per ounce for the second quarter of 2022 and just under 2,000 US dollars for the end of the year.
Of course, things could turn out differently. There are currently also many indications of this: Inflation remains at a high level and the gold price is rising well above USD 2,000 per troy ounce. If the special value-preserving character inherent in gold finds its way back into the minds of investors and, for example, central banks, the price of gold should rise. Inflation, negative real interest rates, and other uncertainties and trouble spots that are always there, has prompted many investors to invest in asset classes with higher returns but also greater risks, such as real estate. Many have also switched parts of their portfolios into gold.
Also, not a bad idea are investments in gold companies such as Skeena Resources or Chesapeake Gold.
Skeena Resources - https://www.youtube.com/watch?v=88pChq5Oulg - is reviving the two historic gold mines Snip and Eskay Creek, an excellent gold-silver project. Both are located in the Golden Triangle in British Columbia.
Chesapeake Gold - https://www.youtube.com/watch?v=D-5U6YbRANc - owns the Metates gold-silver-zinc project in Durango, Mexico. An extensive metallurgical test program is currently underway.
Current corporate information and press releases from Gold Skeena Resources (-https://www.resource-capital.ch/en/companies/skeena-resources-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/
