January 4, 2023, 2:41 pm EST
Gold Begins to Shine
Gold has been down most of 2022. It began to build its bottom for the second half of 2022. Then, November and December of 2022 were the months for gold to emerge as shown on gold miners ETF (GDX)
Today could be the day of a breakout for the new local high for +4% gains as of now. Our portfolio holding position in Barrick Gold Corp (GOLD) is up +6% today and accumulate more than 10% gains since December 1, 2022.
Fed reserve has to accept the fact that inflation is here to stay if it refuses to impose stronger medicine meaning raising the rates at a more aggressive pace. At this point, it does not matter how Fed will do in 2023 because inflation is already out-of-control. In our opinion, the commodity is going to hike again in 2023 including precious metals (gold, silver), basic materials (steel, copper), and energy.
Therefore, we consider gold is at the early stage of the coming uptrend in 2023. It begins to shine.