Gold, Silver Rally as 10-Yr Yields Hit Record Low – Frank Holmes

from Kitco NEWS

lass=”” >Market turmoil following the U.K.’s decision to leave the European Union is causing more investors to turn to gold and treasuries said Frank Holmes, founder of U.S. Global Investors. The yellow metal rallied more in the first half of the year than in any other year since 1974, with prices pushed up 24 percent, he said in an interview with Kitco News. ‘In addition, traders are now pricing in greater chances of a rate cut than a rate hike in September, pushing Treasury yields lower and boosting the appeal of gold,’ Holmes said. Gold futures prices closed at a 27-month high Tuesday, on more safe-haven demand amid risk aversion among traders and investors on this first U.S. trading day of the week. Meantime, silver prices soared to a two-year high of $21.22 overnight, basis September Comex futures, before backing well off that high.

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