Gold weathering the storm – Have we seen the bottom?
“A range of indicators suggest a turning point for the gold sector may be close. Importantly, gold has begun to outperform general equities, potentially marking the start of a turnaround after a decade of underperformance. Furthermore, gold’s continued strong performance in major currencies (aside from the US dollar), has proved a bullish signal in previous cycles, and highlights the distorting impact of hawkish Fed policy on the gold market.”
USAGOLD note: Baker Steel, the British fund manager, sees gold at a turning point. The hawkish rate environment, it says, “appears to be priced-in” and momentum is now shifting to the upside. “A more accommodative stance,” it adds, “should prove a catalyst for the next bull market phase for gold…”