Investors who have already invested in gold are delighted. The price of gold has reached a new record high.
There are many reasons for a rising gold price. Geopolitical tensions, the expected interest rate cuts by the US Federal Reserve or a weaker US dollar. Added to this are the strong gold purchases by central banks, economic uncertainties and the upcoming US elections. Inflation in many countries, such as the USA, has also not yet reached the target value of two percent. The fact that the price of gold recently reached an all-time high may have attracted additional buyers. Around two decades before the global financial crisis (2008), gold was not in such high demand. Then the central banks started buying gold, around 500 tons a year. After the pandemic, this amount roughly doubled. However, as not all central banks report their gold purchases, it could be significantly more.
The US currency's reserve status is shaky. However, the currencies of China and India, which could come into question, are not yet ready. A recession in the US is hardly an issue any more, as the US economy is not that weak. The majority of investors are therefore assuming a soft landing. Although a hard landing would be best for the gold price, as can be seen now, there are many other factors that are pushing up the price of the precious metal.
However, there are already signs that the US economy is cooling, for example real consumption is falling. Consumer prices in the US recorded an inflation rate of three percent in June, lower than in May (3.3 percent) and April (3.4 percent). Nothing should therefore stand in the way of the Fed cutting interest rates for the first time in September and then a second time this year. This increases the suspense as to where the gold price will go.
Mining companies with gold in the ground, such as GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/goldmining-inc/ -, are also benefiting from the high gold price. The company's properties are located in North and South America and contain gold and copper.
There are also shares in Gold Royalty - https://www.commodity-tv.com/ondemand/companies/profil/gold-royalty-corp/ -, U.S. GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/us-goldmining-inc/ - and NevGold - https://www.commodity-tv.com/ondemand/companies/profil/nevgold-corp/ -.
Chesapeake Gold - https://www.commodity-tv.com/ondemand/companies/profil/chesapeake-gold-corp/ - also has gold and silver in its Metates project in Mexico. At another project, the Lucy project, also located in Mexico, up to 5.2 grams of gold per tonne of rock have just been identified during drilling.
Current company information and press releases from GoldMining (- https://www.resource-capital.ch/en/companies/goldmining-inc/ -).
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/
There are many reasons for a rising gold price. Geopolitical tensions, the expected interest rate cuts by the US Federal Reserve or a weaker US dollar. Added to this are the strong gold purchases by central banks, economic uncertainties and the upcoming US elections. Inflation in many countries, such as the USA, has also not yet reached the target value of two percent. The fact that the price of gold recently reached an all-time high may have attracted additional buyers. Around two decades before the global financial crisis (2008), gold was not in such high demand. Then the central banks started buying gold, around 500 tons a year. After the pandemic, this amount roughly doubled. However, as not all central banks report their gold purchases, it could be significantly more.
The US currency's reserve status is shaky. However, the currencies of China and India, which could come into question, are not yet ready. A recession in the US is hardly an issue any more, as the US economy is not that weak. The majority of investors are therefore assuming a soft landing. Although a hard landing would be best for the gold price, as can be seen now, there are many other factors that are pushing up the price of the precious metal.
However, there are already signs that the US economy is cooling, for example real consumption is falling. Consumer prices in the US recorded an inflation rate of three percent in June, lower than in May (3.3 percent) and April (3.4 percent). Nothing should therefore stand in the way of the Fed cutting interest rates for the first time in September and then a second time this year. This increases the suspense as to where the gold price will go.
Mining companies with gold in the ground, such as GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/goldmining-inc/ -, are also benefiting from the high gold price. The company's properties are located in North and South America and contain gold and copper.
There are also shares in Gold Royalty - https://www.commodity-tv.com/ondemand/companies/profil/gold-royalty-corp/ -, U.S. GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/us-goldmining-inc/ - and NevGold - https://www.commodity-tv.com/ondemand/companies/profil/nevgold-corp/ -.
Chesapeake Gold - https://www.commodity-tv.com/ondemand/companies/profil/chesapeake-gold-corp/ - also has gold and silver in its Metates project in Mexico. At another project, the Lucy project, also located in Mexico, up to 5.2 grams of gold per tonne of rock have just been identified during drilling.
Current company information and press releases from GoldMining (- https://www.resource-capital.ch/en/companies/goldmining-inc/ -).
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/
