Speaking ahead of the global market turmoil seen on August 5, Will Rhind, CEO of GraniteShares, weighed in on the health of the US economy, saying that “jittery data” has started to spark fear for investors.
Coupled with rising tensions in the Middle East, that’s creating a positive environment for gold.
“Maybe it’s too soon for me to call this a trend as such, (but) the big thing that I’ve been saying all year has been missing is the fear in the market, (and) it certainly seems to be starting to show through in the last few days. That to me has been the big change that has put us to these new levels in gold,” he told the Investing News Network.
However, generalist investors for the most part still aren’t noticing the yellow metal’s performance.
“I think gold has almost made all-time highs rather silently or secretly in the sense that — I don’t really get the sense that investors are really being focused on it. So perhaps for some people learning that gold has outperformed certain major equity indexes year-to-date might be a big surprise,” Rhind explained during the interview.
“Now looking at the back half of this year, where economic data could potentially weaken further, we could potentially see rate cuts actually being a negative to markets rather than a positive in light of recessionary fears,” he added. “(In that scenario), gold could actually have another strong six months of the year.”
Watch the interview above for more of Rhind’s thoughts on gold, as well as silver, platinum and palladium.
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
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