Gold Price to Go Parabolic?
In discussing the price of gold, Peter Boockvar, Chief Investment Officer at Bleakley Advisory Group, predicts, “I think $5,000 is becoming more realistic, and on a parabolic mania overshoot $10,000.” In an interview with Daniela Cambone, Boockvar explores factors driving the rally in precious metals, suggesting that the renewed interest in them “is payback of lack of investment with supply-demand balance happening now in commodities.” He further examines the intricate connections between the Japanese yen, the surge in oil prices, and 10-year treasuries. As the yen weakens, they sell U.S. treasuries to finance oil imports, leading to a tight coordination between the Japanese yen, oil prices, and U.S. treasuries.
Credit to : ITM TRADING, INC.