The first half of 2022 was rough for the stock market, and strategists say the second half isn’t looking much better.
CNBC reports that last week, the S&P 500 closed out its largest first-half decline since 1970, falling 20.6% since the beginning of the year.
Experts expect this downward spiral to continue.
In a research note for investors, Jim Reid, head of global fundamental credit strategy at Deutsche Bank, said, “The good news is that H1 is now over. The bad news is that the outlook for H2 is not looking good.”
Now, talks of a recession are booming from Wall Street to Washington.
Experts say this could mean good things for precious metals.
David Kranzler of Investment Research Dynamics is warning that precious metals are preparing for a “monster move higher.”
He said despite having the right factors like high inflation, escalating geopolitical tensions, and an impending recession, the metals market’s action has been frustrating.
However, he believes that will soon change.
He said, “I expect a big move in the sector sometime between now and the end of October.”
He expects gold to hit $2,000 and move higher. And he’s not alone in that thought.
Goldman Sachs sees gold hit $2,500 by the end of the year.