With gold prices dropping, many investors are questioning whether it’s still a good investment or not. One expert says that while the price is dropping, the outlook for the yellow metal is still positive, arguing that gold should still be a fundamental asset in a person’s portfolio. In related news, Nick Barisheff, Founder of BMG Group, is warning investors that now is the “time to get out of the financial markets.” In other news, the British pound has fallen to an all-time low against the U.S. dollar.
Gold prices lose sheen — Will it still add glitter to your investment portfolio?
Gold prices dropped to a new 2-1/2-year low on Monday, weighed down by a sturdy dollar and prospects of further interest rate hikes by the US Federal Reserve to tame inflation. In recent months, the yellow metal has remained quite volatile with an upside bias as geopolitical tensions have gripped the world.
Inflation is still worryingly high, accompanied by a global economic slowdown that can push gold prices to a low level of $1600-1590 per ounce zone, experts say.
So, amid the current scenario when gold prices are trading lower than the historical highs, should you invest in it?
You can keep reading, here.
Business Insider/Theron Mohamed
The British pound just plunged to an all-time low against the US dollar. Here’s what happened, and what it means.
The pound plunged to an all-time low of 1.035 against the US dollar on Monday as traders bet that looming tax cuts could fuel inflation, prompt faster interest-rate hikes, and undermine Britain’s already-shaky economy.
Chancellor Kwasi Kwarteng said Friday that he intends to scrap Britain’s top income-tax rate of 45%, nix a scheduled rise in the national insurance rate, and abolish the stamp duty on property purchases of under £250,000. On Sunday, Kwarteng hinted there could be even more tax cuts coming.
His tax cut plan is aimed at boosting the ailing UK economy and reducing the risk of a severe recession. However, it’s sparked fears of faster price increases, government debt that’s out of control, and a worse downturn.
Continue reading, here.
GoldSeek Radio — Nick Barisheff: $10,000 Gold is Now a Realistic Target
Mr. Nick Barisheff, Founder of BMG Group, a global leader in providing secure, cost-effective and transparent ways to purchase and store physical gold, warns investors, “It’s time to get out of the financial markets.”
Financials assets are losing their luster, now that Fed officials have raised rates .75, back-to-back, the cost of borrowing is overwhelming many institutions and households.
US equities market-related volatility is increasing on the heels of comments from the FOMC of another 2.50% in rate hikes into early 2023.
The global economy is facing a stagflationary-depression scenario, it’s time for investors to focus on their portfolio safety and shun high-risk.
$10,000 gold is now a realistic target according to our guest, and may at some point require an upward adjustment!
You can listen to the full interview, here.