Gold is poised to join the “all-time-highs” club in the upcoming decade.
No, this isn’t the musing of some gold-bug. It’s analysis from a pretty mainstream source — Bloomberg Intelligence.
Stocks have set new records over the last several weeks and the dollar hit 2-year highs this fall. But writing in the commodity outlook, Bloomberg Intelligence senior commodities strategist Mike McGlone made the obvious point that stocks and the dollar can’t go up forever. When the tide turns, the reversal could boost gold to all-time highs.
US stock markets plunged Wednesday, shedding over 800 points. Could the be the popping bubble Ron Paul recently said was on the horizon? That remains to be seen. But equities in many emerging markets have been shedding value for several months. Take India for instance. As a recent article in the Economic Times of India put it, “Asset classes are in a state of churn. One look at the chaos in domestic equities is enough to suggest that not all is well with this segment.”
So what are Indian investors doing? Buying gold.