πππSpot Gold prices have taken a dip with higher US treasury yields and stronger US dollar. Is it time to buy the dip?
Yes as elite institutions are quietly exploiting the dip. Just this week UBS adjusted its year end gold price target to USD 5,500, citing that Gold's long term structural bull case remains entirely intact. It regards higher bond yields as a short term cyclical headwind.
Not all central banks are selling gold. China and India are still buying Gold to de-risk their sovereign reserves.
I would continue to hold $Gold Trust Ishares(IAU)$ instead of $SPDR Gold ETF(GLD)$ as it has a lower expense ratio of 0.25% compared to GLD's 0.40%. However for traders, they would prefer GLD as it possesses an unparalleled trading liquidity being the largest Gold ETF by Assets under management.
IAU is a good tactical bet against high inflation too.
@Tiger_SG @Tiger_comments @TigerStars
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments