Updated
Updated · Investing News Network · Jul 15
Experts Say Gold Pullback Strengthens Bull Case as 77 Central Banks Keep Buying
Updated
Updated · Investing News Network · Jul 15

Experts Say Gold Pullback Strengthens Bull Case as 77 Central Banks Keep Buying

1 articles · Updated · Investing News Network · Jul 15

Summary

  • Brien Lundin, Peter Grosskopf and Joseph Cavatoni said gold’s retreat from record highs looks like a normal correction in a healthy bull market, not the start of a lasting downturn.
  • Central bank demand remains the main support: Cavatoni cited a World Gold Council survey of 77 central banks showing most expect to keep raising gold reserves.
  • Lundin said this is only the fourth gold bull market since 1971 and that the current cycle broadened after Jerome Powell’s Jackson Hole easing signal drew Western investors into bullion.
  • Panelists said this year’s sharp rally was fueled by geopolitical risk, tariff and Fed speculation, and Middle East tensions; the pullback followed as uncertainty eased and inflation concerns from higher oil prices were priced in.
  • Mining shares still lag bullion, they said, leaving some quality developers trading at roughly half their valuations from a few months ago and creating selective entry opportunities.

Insights

Mining stocks lag behind soaring gold prices. Is this a historic buying opportunity or simply a classic value trap?
Gold has surpassed Treasuries as the top reserve asset. What does this historic power shift mean for the global economy?