Weekly Market Report

With higher US inflation, a weaker US dollar and geopolitical tensions on the horizon, Wayne Gordon explains why he thinks gold prices will rise even higher in the long term . . . .

Gold rallied on Friday based on the threat of a missile attack and the increase of geopolitical problems in the Middle East . . . .

Gold is famously correlated inversely to the dollar and since the dollar has been weak of late the price is relatively strong, at just over US$1,340 per ounce . . . .

Last week, all global financial markets were influenced by announcements coming from the White House and China regarding upcoming trade tariffs . . . .

The concept of denuclearization of the Korean peninsula was the primary topic of the financial markets last week . . . .

In a January post, I showed how the price of gold rallied in the months following the 2015 and 2016 December interest rate hikes – as much as 29 percent in the former cycle, 17.8 percent in the latter. Gold ended 2017 up double digits, despite pressure from skyrocketing stocks and massive cryptocurrency speculation . . . .

Cryptocurrencies and the blockchain were thought by some to replace gold as the ultimate haven against financial calamity. Now the gold market is using blockchain to kick back at crypto and bring precious metals into the digital age . . . .

Last week was very exciting. The excitement started last Wednesday when the Federal Reserve Chairman, Jerome Powell, raised interest rates by a ¼ of a percent . . . .

Last week, precious metals were primarily reacting to events surrounding the White House . . . .

The University of Texas Investment Management Co. will examine its $1 billion gold position in the portfolio of the largest public university endowment in the U.S . . . .