Frank Holmes: The Biggest Risks Challenging Gold Today

Although gold has historically performed well during past Septembers, the precious metal faces an uphill battle against several key macroeconomic factors, said Frank Holmes, CEO of U.S. Global Investors.
“It all has to do with real interest rates and the concern that rates will continue to rise,” Holmes told Kitco News.
Physical gold benefits from tailwinds, especially from India this time of the year.
However, Holmes expects the dollar to appreciate even further, adding more pressure on gold.
“I’m really amazed that the dollar isn’t higher and that gold isn’t lower,” he said.
On gold stocks, Holmes said that the sector is relatively undervalued compared to the broad market.
“Many of the gold stocks look like a screaming buy compared to the S&P 500,” he said. (show less)

Although gold has historically performed well during past Septembers, the precious metal faces an uphill battle against several key macroeconomic factors, said Frank Holmes, CEO of U.S. Global Investors.
“It all has to do with real interest rates and the concern that rates will continue to rise,” Holmes told Kitco News.
Physical gold benefits from tailwinds, especially from India this time of the year.
However, Holmes expects the dollar to appreciate ... (read more)

Kitco News

Kitco News
The Kitco News team speaks to analysts and experts on the frontlines of the market to get the most up-to-date news on the economy. The show offers a well-rounded, timely view on big market moves and any major headlines that may affect financial assets. Coined – no pun intended – as the number one source of precious metals news, Kitco News is the leading provider of up-to-date price action in the precious metals space.

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