EddieJayonCrypto
1 Jan 24
Mike McGlone and Peter Schiff shared their insights on the gold market for 2024. McGlone highlighted that investors may have increased gold buying due to belief in excessive U.S. equity market growth and anticipated rate cuts by the Federal Reserve. He also suggested that gold could become one of th...
Mike McGlone and Peter Schiff shared their insights on the gold market for 2024. McGlone highlighted that investors may have increased gold buying due to belief in excessive U.S. equity market growth and anticipated rate cuts by the Federal Reserve. He also suggested that gold could become one of the best-performing assets in the event of a significant economic downturn. On the other hand, Schiff noted that 2023 was a successful year for gold, but gold stocks saw minimal growth due to investor expectations of a decline in gold prices. He predicts that 2024 will be the year when gold stocks will align more closely with gold’s robust performance.
Mike McGlone, a Senior Macro Strategist at Bloomberg Intelligence, has shared a detailed outlook on the gold market for 2024, focusing on several key economic indicators and market trends. McGlone observed that towards the end of 2023, gold investors might have been influenced by the belief that the U.S. equity markets had risen excessively after a significant drop at the end of 2022. This perception could have driven increased buying activity in gold, as investors sought to balance their portfolios in anticipation of a market correction. A critical factor in McGlone’s analysis is the widely anticipated pivot of the Federal Reserve from its rate hike stance to rate cuts in 2024. This expected shift in monetary policy is seen as a major tailwind for gold. Investors often view gold as a hedge against inflation and a safe haven in times of monetary easing, which could increase its appeal if the Fed adjusts its policy approach.
McGlone suggests that if the U.S. experiences a ‘hard landing’ in 2024 – a significant economic downturn following the Fed’s rate hikes in 2023 – gold could become one of the best-performing assets. In such scenarios, gold traditionally performs well as investors seek stability and hedge against market volatility and economic uncertainty.
Disclaimer:This is not financial advice. Please do your own research before investing in any asset.