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Seeking Alpha analyst weighs in on gold

ByVictoria

SA analyst World Gold Council stated: “While gold may face some consolidation due to the speed of its latest move, the combination of geopolitical and geoeconomic uncertainty, rising inflation, lower rates, and a weaker US dollar continue to provide powerful tailwinds to investment demand,”

“I recommend buying assets that track the price of gold… Inflation had been on an upward trend, but the lower-than-expected reading in February added more uncertainty to investors. Additionally, recession fears could lead the Fed to cut interest rates. All these uncertainties drive up gold prices,”

Source – Seeking Alpha

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    Silver will get to $35….eventually

    ByVictoria
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    The Thursday session sees a bit of consolidation in the silver market, as we are not trying to digest further gains from the Wednesday session. At this point, the market looks as if it want to go to the $35 level eventually.

    Silver is a metal that I would be a buyer on dips because it is a precious metal. It’s a way to protect wealth, but it’s also an industrial one.

    Source – FX Empire

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    Safe-Haven Gold Gains Ground

    ByVictoria
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    Spot gold gained 1% to $4,532.72 per ounce. Prices hit their ⁠lowest ‌in more than seven weeks earlier in the ⁠session. U.S. gold futures for June delivery rose 0.5% higher to $4,535.30.

    “Any type of resolution to the war or opening of the Strait of Hormuz would be a positive for the ⁠gold market in so much as the expectation would be that interest rates would decline, ‌and hence that would be opportunistic or helpful to ‌the gold market,” said ‌David Meger, director of metals trading at High Ridge Futures.

    Citi said it was staying cautious near-term on gold with a zero to three-month point-price target of $4,300/oz.

    Source – CNBC

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    Royal Gold aquired Sanstorm Gold

    ByVictoria
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    Sandstorm Gold (NYSE:SAND) +9.5% pre-market Monday after saying Royal Gold (NASDAQ:RGLD) agreed to acquire the company in an all-stock transaction with an implied value of ~$3.5B.

    Under the deal terms, Sandstorm (NYSE:SAND) shareholders will receive 0.0625 of a share of Royal Gold (NASDAQ:RGLD) common stock for each Sandstorm share held, a 17% premium to Sandstorm’s closing price on July 3; upon closing, existing Royal Gold and Sandstorm shareholders will own ~77% and 23%, of Royal Gold’s issued and outstanding shares on a fully diluted basis.

    Source – Seeking Alpha

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    Gold hits all-time high

    ByVictoria
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    Bullion surged as much as 1.4% to $2,798.59 an ounce, surpassing its previous all-time high set in October. A weaker dollar makes bullion more appealing for investors holding other currencies as it’s priced in the US currency.

    “When you get rising inflation and you get declining growth, you get stagflation, then gold is one of the best-performing commodities in that environment.”

    Source – Bloomberg

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    Gold and Silver : Experts predict 10% – 25% rally

    ByVictoria
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    “Given the current scenario, central banks are likely to continue diversifying their reserves with gold for financial and strategic reasons,” ICICI Securities stated in its report.

    Pankaj Pandey, Head of Research at ICICI Securities, noted, “We anticipate fresh investment demand for gold in 2025 as investors seek a store of value amidst trade war anxieties.”

    Silver is poised to outperform gold in 2025, supported by strong industrial demand from green energy applications, including photovoltaics and electric vehicle (EV) electrification, said ICICI.

    Source – Live Mint

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    Gold rally similar to 45 years ago

    ByVictoria
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    With tensions running high between historic allies over U.S. tariffs, global trade, and wars in Ukraine and the Middle East, big powers look unlikely to pull together swiftly this time to resolve the issues driving interest in bullion as a haven from risk, analysts say.

    The metal’s surge above $3,000 an ounce, driven most recently by U.S. President Donald Trump’s new round of tariffs on trading partners, has been the first time in a long time that geopolitics and economic uncertainty have served as the top factors moving the gold market, HSBC analyst James Steel said.

    While the market has this year conquered a series of milestones, one more remains. StoneX analyst Rhona O’Connell noted that gold peaked at $850 in January of 1980, which in dollar terms would equate to $3,486 today.

    Source – Reuters