On the heels of a weaker than expected jobs release in the United States, Gerald Celente discusses the war in the gold market and what to expect next.
(King World News) Gerald Celente — Down from its mid- $1,350 range but still above $1,300 until Tuesday, gold suddenly got slammed. Plummeting over $40 per ounce, gold registered its biggest one-day drop since 2013. By Thursday, after falling for eight straight sessions, gold dove to a four-month low…
“Is this the beginning of the end of the gold bull run? Is it time to panic sell and cut losses?
As trend forecasters, and not investment advisors, we analyze available data to determine what drives market moves and not whether to buy or sell. Therefore, from premonitory analysis of generally accepted and quantifiable market data driving gold prices down, while the short term fundamentals were bearish for gold, we maintain our forecast that when gold breaks and stabilizes above $1,400 an ounce, the price will spike to $2,000 per ounce.
Is it hard economic data driving gold prices down? No! Equity market eyes are primarily focused on the United States, which, while the world’s largest economy, comprises just five percent of the world’s population. Yet, with great anticipation, today’s job numbers were the main data point that would determine whether gold and silver prices rise or fall. The general consensus was, if over 175,000 new jobs are created, that would raise the odds the US Federal Reserve will increase interest rates before year’s end. Thus, the higher interest rates rise, other yield-bearing assets become more attractive than gold.