The Donald Trump rally marches on…The Dow Jones, S&P 500 and the Nasdaq have all hit new record highs, and for the time being the party looks like it is set to continue. Risk appetite has been on the rise, and interest rates have also been climbing. Even the dollar has gotten involved, and is trading at its highest levels since the early 2000s.
There is no telling just how far stocks could climb from current levels. Could the Dow see 20,000 in the next several months, or even the next several weeks? While just a few weeks ago that might have sounded incredibly far-fetched, it doesn’t seem so crazy now does it?
In the background, gold and silver are quietly struggling to stem the recent bleeding seen. Gold at one point recently had fallen nearly $140 per ounce from the highs seen on election night. Silver has fallen over $2 per ounce since that time.
These precious metals are on the defensive, and a further slide cannot be ruled out.
In our view, however, further downside in gold and silver could potentially represent a buying opportunity that may not be seen again.
In a recent article from Kitco.com, TD Securities expressed the opinion that dips in gold below $1200 per ounce “should be bought.” While TDS cited a stronger U.S. dollar and rising yields as potential reasons for further downside in the yellow metal, they also said “But a rout is not expected, as the U.S. central bank is likely to continue to message a very measured approach. At the same time, the market is pricing perfection from the new administration and Congress pricing out any possibility of a trade war and assuming all the tax cuts and spending programs mentioned in the election campaign will materialize as proposed.”
As sentiment around the gold and silver markets gets more and more bearish, we get more and more excited-and think you should to.
For the patient, long-term investor, we see the current sell-off in gold and silver as nothing more than an opportunity to buy these key precious metals at a steep discount. Nothing more and nothing less. In fact, given the finite supply of these metals and their long and significant history, we believe prices will be dramatically higher in the years to come. If you like the idea of buying low and selling high (or not selling at all), this may be your chance in gold and silver.
If you don’t own physical precious metals, now may be the ideal time to begin allocating capital to this asset class. If you do own gold or silver already, now may potentially be a great time to add more and dollar-cost average.
Taking advantage of the recent dip in prices is simple and convenient, and you can begin taking steps to diversify your holdings using these precious metals today.
Let Advantage Gold show you how…
Speak with an Advantage Gold account executive today about the potential benefits of physical gold and silver ownership. Our professionals are here to answer your questions, and can even show you how easy it is to begin adding these precious metals to your IRA account.
Don’t let this opportunity pass you by. Call 1-800-341-8584 to get started today.Tags: advantage gold, buying opportunity, election, gold, stock market rally, trade war, trump