The price of gold is struggling to stay above $1,700 per ounce, but just can't manage it.
According to experts, the price of the precious metal will continue to be volatile in the coming months. The government and corporate financing as a result of the Corona crisis, plus the Russia-Ukraine war, stand in the way of stability. As long as the Fed is aggressively raising interest rates, it will not be easy for the price of gold to move higher. Nevertheless, investors should remain invested in precious metals and precious metal stocks, or use low prices for entry, because these are long-term values. The inflationary phase in which we find ourselves should give precious metals additional appeal, namely when interest rate hikes come to an end. Despite short-term volatility, precious metals have a value-preserving factor. While the Fed's moves are fundamentally correct, this exports inflation from the U.S. and burdens other countries. If this leads to geopolitical problems, then this will in turn impact the US. As a result, the Fed will probably not raise interest rates enough to bring inflation back down to the two percent target.
Gold will therefore retain its status as an inflation hedge. The physical demand for gold and silver continues to be solid, which should indicate the direction in which precious metal prices will develop in the long term, namely upwards. Presumably, an end to Fed rate hikes will be enough to boost gold prices again. And as long as the time has not yet come, there are opportunities for investors, especially in gold mining stocks. Also, prices of around $1,650 per troy ounce of gold are still solid values for gold companies. After all, on average they are still earning around 200 U.S. dollars per ounce.
A successful gold producer is OceanaGold - https://www.youtube.com/watch?v=y5HXuXb8Jhg -. The projects are located in the USA, the Philippines and New Zealand and produce gold, copper and silver.
Chesapeake Gold - https://www.youtube.com/watch?v=dinUyzlk36E -, although not yet a producer, would also be suitable for an investment. Its flagship project Metates is located in Mexico and contains gold, silver and zinc.
Current corporate information and press releases from OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -).
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/
According to experts, the price of the precious metal will continue to be volatile in the coming months. The government and corporate financing as a result of the Corona crisis, plus the Russia-Ukraine war, stand in the way of stability. As long as the Fed is aggressively raising interest rates, it will not be easy for the price of gold to move higher. Nevertheless, investors should remain invested in precious metals and precious metal stocks, or use low prices for entry, because these are long-term values. The inflationary phase in which we find ourselves should give precious metals additional appeal, namely when interest rate hikes come to an end. Despite short-term volatility, precious metals have a value-preserving factor. While the Fed's moves are fundamentally correct, this exports inflation from the U.S. and burdens other countries. If this leads to geopolitical problems, then this will in turn impact the US. As a result, the Fed will probably not raise interest rates enough to bring inflation back down to the two percent target.
Gold will therefore retain its status as an inflation hedge. The physical demand for gold and silver continues to be solid, which should indicate the direction in which precious metal prices will develop in the long term, namely upwards. Presumably, an end to Fed rate hikes will be enough to boost gold prices again. And as long as the time has not yet come, there are opportunities for investors, especially in gold mining stocks. Also, prices of around $1,650 per troy ounce of gold are still solid values for gold companies. After all, on average they are still earning around 200 U.S. dollars per ounce.
A successful gold producer is OceanaGold - https://www.youtube.com/watch?v=y5HXuXb8Jhg -. The projects are located in the USA, the Philippines and New Zealand and produce gold, copper and silver.
Chesapeake Gold - https://www.youtube.com/watch?v=dinUyzlk36E -, although not yet a producer, would also be suitable for an investment. Its flagship project Metates is located in Mexico and contains gold, silver and zinc.
Current corporate information and press releases from OceanaGold (- https://www.resource-capital.ch/en/companies/oceanagold-corp/ -).
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/
