Gold breaks through $2350! Is the next target $2500? (Understanding how Mooers deploy)

At the beginning of April, the price of US stocks formed a sharp contrast with commodity prices. Federal Reserve Chairman Powell's statement “not in a hurry to lower interest rates” has cooled expectations for rate cuts, causing a softening in the three major US stock indices. At the same time, geopolitical risks are increasing, and gold with inflation resistance and hedging properties continues to be favored by the market, showing a strong trend.

Gold prices continue to reach new highs! Soaring to over $2350/ounce as of April 8, marking an increase of over $200 for the year!如果你在去年10月5日低位1829美元買入黃金，持有至今年4月8日，升幅超過28%

【黃金升勢兇猛，多家機構紛紛上調預期】

1. 近日金價不斷升高，花旗銀行連夜調整黃金價格展望。將黃金0-3個月價格目標上調9%，達到2400美元/盎司。

2. 開年至今黃金升幅超過13%，高盛三次修改黃金展望仍未能跟上黃金升勢.

However, some institutions have pointed out that the short-term increase in gold is too large, and there is a risk of a pullback.

UBS believes that the upward trend of gold price is too fast, and there may be a situation of a pullback to slightly below $2100 per ounce.

[Mooer's Hot Discussions]

In early March, Mooer launched a discussion on gold opportunities.Gold price keeps hitting new highs! Can we buy gold as a hedge?We discussed the future development of gold with the Mooers.

This post received a lot of interaction from Mooers, and everyone expressed their views on the trend of gold prices and investment strategies for gold assets. Next, let's review the wonderful comments from the Mooers together!

First, looking at the trend of gold prices, mooers generally have a bullish view on the further rise of gold prices. What are the reasons? Is it a good time to get on board now?

1. Some mooers believethat the rise in gold prices will continue for a long time.,You can confidently hold on to it..

@宝庆府They believe that the safe-haven demand brought about by geopolitical risks and the Fed's interest rate cuts will not weaken within a year, and the slow bull market for gold will continue for a longer period of time.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."The price of gold relies mainly on hedging demand and loose capital. The former has always been present due to various geopolitical factors, and the latter is about to experience a rate cut by the Federal Reserve. The combination of these two factors has created the current bull market in gold. These two factors are unlikely to weaken within the foreseeable year, therefore, it is believed that the slow bull market in gold will continue for a longer period of time.

@皓月飛揚Although the price of gold has recently reached new highs, there is still room for growth.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."Although the price of gold has reached new highs recently, I still believe that gold has room for growth because it is both a hedging tool and a necessary investment for value preservation.

However, some mooers believe thatthe price of gold will enter a volatile upward trend and has already reached a high point at this stage.Mooers should be cautious about "getting on board".

@可愛教主寶寶The high interest rates in the short term will suppress the gold price, but in the long run, the gold price will eventually rise.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."As the macroeconomic data slows down, the possibility of rate cuts increases, which will have a boosting effect on precious metals. Therefore, we believe that interest rates may remain high in the foreseeable future, which will to some extent suppress the gold price. In the long run, we expect interest rates and the US dollar to loosen, thereby driving the gold price up.

@16524092牛牛We believe that the price of gold may continue to rise in the long term, but in the short term, it may face certain correction pressures.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."In the long run, global economic uncertainty still exists, and the loose monetary policy is unlikely to change easily. In addition, the continuous growth in demand for gold will continue to support the upward trend in the price of gold. However, in the short term, with the rapid rise in the price of gold, some investors may choose to take profits, resulting in a short-term decline in price.

Secondly, how can mooers allocate gold products to seize this upward trend?

When it comes to the allocation of gold-related products, some mooers choose to buy virtual gold, such as gold stocks, gold funds, gold ETFs, etc., while others prefer to hold physical gold.

Each investment strategy has its own rationale. Let's take a look at the perspectives of different mooers.

1. Compared to holding physical gold,Investing in virtual gold has advantages such as flexible trading, convenient storage, sufficient liquidity, and low transaction costs.It is loved by many mooers.

@挣奶粉的小边牧They believe that although the returns of gold stocks are higher, stock selection is too complex and not friendly to ordinary investors. They choose to invest in gold funds.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."The elasticity of gold stocks should be greater than that of gold ETFs, and allocating gold stocks should yield higher returns. However, in practice, it is found that stock selection in gold mining companies is too complex and not friendly to ordinary investors like me. The investment research capabilities of professional fund managers are much better than those of wild investors like me, so I prefer to adjust my investment and make regular purchases of the Jupiter Gold & Silver Fund. I buy more when the price is low and hold it for the long term. The experience of holding the fund is not bad.

@33416621Gold funds are considered an ideal investment method as they overcome the inconvenience of storing physical gold.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."If the goal is simply to profit from the price difference of gold, holding gold funds is more ideal, as storing physical gold may require paying for storage in a bank vault, which can be troublesome.

@悠闲小兰胖There are risks associated with physical gold, such as high loss, purity not matching expectations, and brand premiums. I prefer monthly installment gold funds, gradually entering the market in batches, and buying more when the price is low.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."In the process of holding gold, I prefer holding virtual gold, and the most typical example is gold funds. Since gold has been a bit overheated recently, the investment strategy can adopt a regular investment approach, gradually entering the market in batches, buying more when the price is low, and participating in investment at a lower cost.

2. The price of virtual gold is more volatile due to market sentiment, company operation conditions, and macroeconomic environment.

,So some mooers prefer to hold physical gold.

@CiCi施They believe that buying physical gold can be seen as an investment against the backdrop of global economic recession and increased geopolitical risks.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."Considering the current global situation, buying physical gold can be considered as an investment. In previous years, the scale of net gold purchases by global central banks exceeded 1,000 tons. If this number could double, it would have a significant boost to gold prices. When the economy enters a stagflation phase, gold, with its hedging function, may receive support.

@-BBQ-They believe that besides investment, physical gold can also be collected, appreciated, or given as gifts.

"The "Combined Income Master" Award, with the highest returns on Crypto ETFs, Coin Stocks, and Coin Stock Options, and a written explanation of the investment logic, ranked third."Of course, holding physical gold is better, although there may be higher risks in storage, but it can be used for collection, appreciation, or gifting. Owning physical gold can have uses other than investment, and transferring assets is relatively easier.

The recent trend in gold prices is still a hot topic in the market. After listening to the opinions on the price trend of gold and the investment advice from mooer above, what are your thoughts?

Welcome all mooers to share their opinions in the comments section. For more mooer perspectives, please move to the next page.Gold prices hitting new highs! Can you buy gold for hedging purposes?Discussion Forum

In addition, all selected mooers this issue will receive a reward of 200 points! (Rewards will be distributed within 7 working days~)

[Important Announcement]

Disclaimer: The final interpretation and decision-making power of this activity belong to Futu. This document should not be regarded as an invitation, solicitation, recommendation, or basis for buying or selling any investment products or investment decisions, nor should it be interpreted as professional advice.

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