Gold prices have been on a roller coaster ride in 2020. After a dramatic drop in March, gold prices regained much of their losses and moved higher for the rest of the year. With gold prices recently hitting all-time record highs, the question everyone is asking is: Is this a gold price breakout or a fake out? To find the answer, we turn to David Morgan, a renowned expert in precious metal investing.
According to David Morgan, the gold price breakout is both real and sustainable. He argues that because supply of gold is finite, buying pressure from both individual and institutional investors is likely to continue to increase. Further, Davied Morgan points to geopolitical tensions as another factor driving gold prices higher. He notes that as long as the world remains in turmoil, investors will continue to flock to the safety of gold investments.
Moreover, David Morgan doesn’t expect central banks to raise or cut interest rates anytime soon, which should keep gold prices high. He notes that central banks are likely to remain accommodative for the foreseeable future. That means gold is likely to remain in demand as a safe haven currency around the world.
While David Morgan is bullish on gold prices, he cautions investors to take a long-term view. That means holding off on making short-term speculative trades, even when gold prices seem to be rising rapidly. He also advises that investors diversify their portfolio and add gold investments as only one part of a much larger asset allocation.
In conclusion, it appears that the recent gold price breakout is both real and sustainable. With no immediate expectation for a change in monetary policy, and a sizable amount of geopolitical uncertainty in the world, the demand for gold is likely to remain strong for the near future. Thus, gold is a wise investment for those interested in a long-term monetary hedge.
Gold prices have been on a roller coaster ride in 2020. After a dramatic drop in March, gold prices regained much of their losses and moved higher for the rest of the year. With gold prices recently hitting all-time record highs, the question everyone is asking is: Is this a gold price breakout or a fake out? To find the answer, we turn to David Morgan, a renowned expert in precious metal investing.
According to David Morgan, the gold price breakout is both real and sustainable. He argues that because supply of gold is finite, buying pressure from both individual and institutional investors is likely to continue to increase. Further, Davied Morgan points to geopolitical tensions as another factor driving gold prices higher. He notes that as long as the world remains in turmoil, investors will continue to flock to the safety of gold investments.
Moreover, David Morgan doesn’t expect central banks to raise or cut interest rates anytime soon, which should keep gold prices high. He notes that central banks are likely to remain accommodative for the foreseeable future. That means gold is likely to remain in demand as a safe haven currency around the world.
While David Morgan is bullish on gold prices, he cautions investors to take a long-term view. That means holding off on making short-term speculative trades, even when gold prices seem to be rising rapidly. He also advises that investors diversify their portfolio and add gold investments as only one part of a much larger asset allocation.
In conclusion, it appears that the recent gold price breakout is both real and sustainable. With no immediate expectation for a change in monetary policy, and a sizable amount of geopolitical uncertainty in the world, the demand for gold is likely to remain strong for the near future. Thus, gold is a wise investment for those interested in a long-term monetary hedge.
