As a general rule, the most successful man in life is the man who has the best information
by Richard (Rick) Mills
Ahead of the Herd
Canadians, at least those fortunate enough to enjoy a long weekend, returned to their desks Tuesday to watch gold prices crack another milestone – $2,000 per ounce – as the spectacular summer rally for the precious metal continues.
At time of writing, spot gold’s last bid was $2,019.20, marking a $42 gain since Monday’s trading session. Silver prices also experienced a major leg up, with spot silver posting a $1.68 increase to $26.01, as of 17:05 Eastern time – a 7-year high.
[…] The usual suspects are behind the surges of both metals, ie., worrisome covid-19 infections, geopolitical concerns especially US-China tensions over trade (President Trump tried to force China-owned TikTok into selling its US operations), the South China Sea, fears of inflation on the back of unlimited monetary stimulus and low interest rates worldwide.
Bullion prices have climbed more than 30% year to date, as investors choose gold as a safe haven amid widespread economic uncertainty created by the pandemic. They believe gold will hold its value better than other assets such as stocks and bonds.