Why big investors think it’s time to hoard gold

Why big investors think it’s time to hoard gold

God in fort

Patti Domm

Fear is on the rise and so is the price of gold.

Gold futures for August hit a three-week high Thursday, rising to $1,272.70 per ounce, just under a key resistance level of $1,275. The yellow metal is up about 20 percent year to date, and some high-profile investors — like George Soros and Stanley Druckenmiller — have made no secret that they see bad times ahead in the markets and gold is a safer bet.

“As far as the geopolitical element, it’s certainly not a chicken little atmosphere,” said Jim Steel, chief commodities analyst at HSBC. “I think there’s enough uncertainty facing the global economy and even some geopolitical tensions to keep buying the gold market.”

Investors believing they need to have gold in their portfolio as a hedge against the outcome of easy central bank policies and for other safety reasons are fueling a run in the metal. Some analysts say gold could easily climb above $1,300 an ounce.

In fact, DoubleLine Capital CEO Jeff Gundlach likes it, and he says gold could go to $1,400. Soros has reportedly been buying both gold and gold mining shares, while Drunkenmiller told investors last month to get out of stocks altogether and buy the yellow metal due to concerns about China’s economy and the Fed’s easy money policies.

Read More…


About The Author

• Host “Live in Las Vegas w/Dave & Chad” KDWN 720AM 2014 - present • Host “Jim Fassel Show” ESPN 1100AM 2014 • Host/Co-Host – various (KLAV 1230am / KXNT 100.5FM) 2007- 2013 • Public Address Announcer (Las Vegas Wranglers) ‘09-’14 • Voice of God 2014 NHL Awards (NBC Sports / CBN) • Red Carpet Host NHL Awards 2011, 2012, 2014 • CBS Radio Account Exec. 2011-2013 "I have had the pleasure of working with Dave Carney for the past four years in Las Vegas at the NHL Awards Red Carpet event... Most importantly, Dave has the "voice" most broadcasters dream of having. Clear and able to penetrate any audience. I'd strongly recommend Dave...I know who to go to." NHL Manager of Events; Thomas Meaney

Related posts