VIDEO - Brien Lundin: Gold Price Outlook Uncertain in the Short Term
It’s tough to predict the gold price in the short term, says Gold Newsletter Editor Brien Lundin. But 2018 is shaping up to be a good year for metals.
2018 is shaping up to be a good year for metals, says Gold Newsletter Editor Brien Lundin. But making short-term gold price predictions is difficult right now.
“The markets have been … overreacting to headline events,” he explained at this year’s PDAC convention. “Fed minutes, the White House pronouncements, a lot of things. We can’t really predict what the headlines are going to be. But not only that, the markets have been reacting in different ways than they have in the past to each new event … it creates a lot of uncertainty in the near term.”
Lundin noted that investors are also still adjusting to new US Federal Reserve Chair Jerome Powell, who he expects to be “more frank” than Janet Yellen, the previous chair.
And of course, US President Donald Trump’s tariffs have been in the news. “That I think has drowned out any of the concerns that we had about Jerome Powell for the moment,” he said, adding, “I think they’re terrible, a terrible idea. I think it creates uncertainty, which creates volatility in the market. There is a scenario in which gold could benefit from that. But I don’t look at it as a long-term driver of gold prices.”
Watch the interview above for more insight from Lundin on gold and how to choose stocks, and click here to view our PDAC 2018 playlist on YouTube. The transcript for this interview will be added shortly.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.