Gold is experiencing a remarkable rally, outperforming even tech stocks with a 20% year-to-date gain. Bank of America strategist Michael Hartnett advises investors to continue buying gold, despite its record-high prices. He believes potential Federal Reserve rate cuts could reignite inflation, historically benefiting real assets like gold. Interestingly, the rally is driven by unprecedented central bank buying, particularly from China, rather than investor inflows. Gold has become the second-largest reserve asset globally, offering low correlation to stocks and making it an attractive investment option in the current economic climate.
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