Gold as of late feels like it has fallen out of favor with investors, as it has pulled back after a monstrous run to all-time highs. It's important to note that all bull run in the past has had corrections and that this is a sign of a healthy market. Since our last market update, Gold has traded in the same range: $4,385 - $3,886, with the market trading around the $4,000 going over and under several times. On the silver side of things, we made an even lower low since our last update, silver touched $45.46, a dollar under the previous low.
The gold market has found its footing around $4,000 and I believe that this bull run is not over just yet. The global landscape remains the same, there is still conflict in the Middle East, the conflict between Russia and Ukraine, global economies worldwide are struggling with inflation, and many economists say that world economies are on the brink of a recession. On top of all these things, the US government is currently experiencing its longest shut down in history.
I have had clients question what will happen with silver if we do experience a recession, as there is strong industrial demand for silver, which has added to its rise. In my opinion even with a recession, silver will follow its big brother gold, and should we experience a recession, silver should easily be able to reach $60+. It goes without saying that should a recession happen, Gold would most likely reach new all-time highs as the Fed would be forced to cut interest rates even further.
All in all, the market is prime for anyone that has been looking for an opportunity to take a position and partake in this historic run!