Will gold fall with rising interest rates?

James Gerrish

Market Matters

Global equity markets continued to surge recently with the S&P500 making the fresh all-time highs we have been forecasting all-year. Hopefully, the local ASX200 will regain some much needed "mojo" into Christmas, it currently sits 4.9% below this year's high, 12.1% below its 2015 high and a horrible 28% below its all-time high. On the index level at MM we channel a significant part of our energy into tracking the US market for 2 main reasons: 1. The US Index has shown more clarity to us over recent years, enabling MM to be an aggressive buyer when many were scarred e.g. early 2016. 2. The local ASX200 and US stocks are highly correlated when it comes to large swing lows / highs and underlying trends, just not in pure relative performance. In this report we look at gold, the precious metal that can do very well in bad times and many think rising inflation, the question is when do we start buying gold stocks again considering our medium-term concern for equities. See link here: (VIEW LINK)


2 topics

James Gerrish
Portfolio Manager
Market Matters

James is the Lead Portfolio Manager & primary author at Market Matters, a digital advice & investment platform with over 2500 members that offers real market intel & portfolios open for investment. He is also a Senior Portfolio Manager at Shaw and...

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

Comments

Sign In or Join Free to comment