You probably should not look at gold stocks or gold ETFs.
Gold hit a record high. $2,465. If history repeats itself it will punch through $2,500 and could rally 60% to a new high, and hit $3,944.
Here is why it could happen
Every time the Fed Reserve has cut interest rates, embarking on a rate-cutting cycle, gold has rallied to a new record all-time high.
When the Fed cut rates in November 2002, gold then rallied 90% to a new high in about four years.
When the Fed cut rates, embarking on a rate-cutting cycle in the GFC from September 2007, gold rallied up 172% to a new record all-time high in five years.
In 2019, after COVID struck the world, the Fed started cutting rates in August 2019, and gold rallied 60% in a year-ish
...we don't have to really pre-empt it IMO, I won't be buying anymore to what I already have. We can't take a Fed rate cut for granted either, the market has already imputed the cut, so even when it arrives, it won't lift Gold any much higher unless the Fed sends a message that more cuts can be expected in the near term. After the rate cut from ECB last month, they are expected to stay pat this month (we should know in less than half hour).
...Gary Savage thinks not to take this gold rally for granted and to be cautious if it breaks below $2450.
