.
Rising interest rates are usually not good for the gold price, but gold in euro terms is definitely worth buying.
Slowly, a recession seems to be on the horizon. This, together with rising interest rates, is not doing the gold price any good in general. This also applies to silver, which is currently weakening in price. The culprit is the oversupply of recent months. Here, and especially with silver companies, there could be very good entry opportunities in the near future. The Fed has raised the U.S. federal funds rate by 50 basis points and government bond sales are only expected to increase in the near term. If the Fed is now no longer a buyer, bonds will surely continue to lose value. Further increases in interest rates would then be the result, which is not good for companies at all. However, this will give the stock market a boost.
The demand for gold is very high, and the central banks have also been making inroads into gold. Demand for the precious metal in the first quarter of 2022 was around 34 percent higher than in the first quarter of 2021. Inflation rates and the Ukraine war had an impact here. By contrast, the popularity of gold bars and coins and gold jewelry was weaker than in the prior-year quarter. The recent lockdowns in China made themselves felt in this segment. Currently, some investors are leaving the gold market, so there will be excellent entry opportunities for gold and then silver companies. This is because the headwinds for gold and silver caused by the strong U.S. dollar and high interest rates should subside again, and then the way to higher prices will be open, especially for mining companies. It should not be forgotten that in Euroland the gold price is showing strength and here, too, it is important to take advantage of price setbacks, for example with an investment in companies such as Chesapeake Gold or Denarius Metals.
Chesapeake Gold - https://www.youtube.com/watch?v=DHxF_-3tU1c -, active in North and South America owns as main project the Metates project, thus gold and silver. Nice drill results are available.
Denarius Metals - https://www.youtube.com/watch?v=QoZi_ruXXF0 - operates in high-grade regions in Spain and Colombia. Gold, silver, copper, lead and zinc are the raw materials involved.
Current corporate information and press releases from Denarius Metals (- https://www.resource-capital.ch/en/companies/denarius-metals-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/
Rising interest rates are usually not good for the gold price, but gold in euro terms is definitely worth buying.
Slowly, a recession seems to be on the horizon. This, together with rising interest rates, is not doing the gold price any good in general. This also applies to silver, which is currently weakening in price. The culprit is the oversupply of recent months. Here, and especially with silver companies, there could be very good entry opportunities in the near future. The Fed has raised the U.S. federal funds rate by 50 basis points and government bond sales are only expected to increase in the near term. If the Fed is now no longer a buyer, bonds will surely continue to lose value. Further increases in interest rates would then be the result, which is not good for companies at all. However, this will give the stock market a boost.
The demand for gold is very high, and the central banks have also been making inroads into gold. Demand for the precious metal in the first quarter of 2022 was around 34 percent higher than in the first quarter of 2021. Inflation rates and the Ukraine war had an impact here. By contrast, the popularity of gold bars and coins and gold jewelry was weaker than in the prior-year quarter. The recent lockdowns in China made themselves felt in this segment. Currently, some investors are leaving the gold market, so there will be excellent entry opportunities for gold and then silver companies. This is because the headwinds for gold and silver caused by the strong U.S. dollar and high interest rates should subside again, and then the way to higher prices will be open, especially for mining companies. It should not be forgotten that in Euroland the gold price is showing strength and here, too, it is important to take advantage of price setbacks, for example with an investment in companies such as Chesapeake Gold or Denarius Metals.
Chesapeake Gold - https://www.youtube.com/watch?v=DHxF_-3tU1c -, active in North and South America owns as main project the Metates project, thus gold and silver. Nice drill results are available.
Denarius Metals - https://www.youtube.com/watch?v=QoZi_ruXXF0 - operates in high-grade regions in Spain and Colombia. Gold, silver, copper, lead and zinc are the raw materials involved.
Current corporate information and press releases from Denarius Metals (- https://www.resource-capital.ch/en/companies/denarius-metals-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/
