Brien Lundin wears many hats — he’s editor of Gold Newsletter, president and CEO of Jefferson Financial and he runs the New Orleans Investment Conference, an annual event that allows investors to further their knowledge of the trends driving US and global markets.
Speaking at this year’s conference, Lundin suggested that heading into the end of 2017 the gold price will likely perform as it did at the end of 2015 and 2016. In other words, the US Federal Reserve will hike rates in December and that will act as “a launching pad for gold going into the new year.”
In the longer term, he believes a gold price rise is inevitable. Why? “The easy answer is debt,” Lundin explained. “The debt load in the US is over $20 trillion. If it performs to past form, by the time Donald Trump gets out of office, it should be about $40 trillion — the record has shown that federal debt has doubled during every eight-year term of the president recently, so it’s growing. At this level it’s too large to be handled by tax hikes, spending cuts, growth.”
He continued, “the bottom line is there has to be some significant depreciation of the dollar, and that’s bullish for precious metals. That’s why much higher gold prices are inevitable.”
Watch the interview above for more insight from Lundin on gold and what it takes to put on the New Orleans Investment Conference. 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.