On Monday, INN sat in on the “2017: Year of the Yellow Metals” presentation by keynote speaker Louis James of Casey Research. He discussed his thoughts on gold, uranium and how Trump’s presidency could affect the markets.
James told the audience that he is very bullish on both gold and uranium this year. “I think 2017 will deliver better gains than last year. I have personally put more money in the market this year than ever before,” he said.
Gold: Uncertainty Will Drive Prices
James started his presentation by discussing how Trump has brought uncertainty into the markets, driving the gold price with a simple tweet or comment.
“If Donald Trump continues to be Donald Trump, then I think that it is a good thing for gold. He is a source of high-level continuing chaos generation and instability in the markets, and that is a good thing for gold,” he said.
Other factors to pay attention to will be Trump’s infrastructure spending plan and what happens to the US dollar. Trump has already mentioned that the US dollar is too strong, and that could potentially bring policies that will benefit resources and precious metals investors.
But uncertainty in the world will not only come from Trump’s presidency. What happens in China and Europe, along with many other political events this year, will add to instability as well.
James also said that for investors interested in gold there is no point going back to the basics of supply and demand.
“You have to ask yourself, are we going to need safety assets? Is the world getting safer? Is the economy getting stable? If the answer is no, then you turn to precious metals,” he added.
Source: Investing News