Make Kitco Your Homepage

Gold price is 'a long way from ending its upswing': Commerzbank

Kitco News

Editor's Note: Get caught up in minutes with our speedy summary of today's must-read news stories and expert opinions that moved the precious metals and financial markets. Sign up here!

(Kitco News) Gold is unlikely to end its bull market any time soon, according to Commerzbank. “In our opinion, the gold price is a long way from ending its upswing. The problems we currently face are simply too manifold: be it the rapidly rising national debt levels, the unchecked printing of money by central banks, the persistently extremely low interest rates, and the numerous political risks,” Commerzbank commodity analyst Carsten Fritsch writes. The biggest risk in Q4 is the U.S. election, Fritsch notes. Also, there is a chance of Brexit without a trade deal and rising geopolitical tensions. On top of that, ETF investors are continuing to increase their gold holdings. “Inflows totalled 54 tons in September and 240 tons in the third quarter as a whole. This was the tenth monthly inflow and the eighth quarterly inflow in a row,” Fritsch adds.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.