Trader Buzz on Oil and Gold

TRANSCRIPT:

We’ve been tracking commodity prices. Gold is rising slightly ahead of today’s ECB meeting that could set the tone for the euro. Platinum and palladium prices holding steady and oil is edging up to close in on that $100 mark.

Let’s get to our block now. Talking oil is Carl Larry from Atlas Commodities. He’s also president of oil outlooks and opinions and with us on set to talk precious metals, Sean, editor of the wealth report. Sean, Credit Suisse was out with a note saying the era of gold is coming to an end. Are they right or wrong?

I don’t believe that. They’re wrong. Basically, when trends would come to an end, if you were having a gold bubble pop, you wouldn’t have gold consolidating for a year, year and a half in the 1500, to 1800 range. It’s actually building a healthy base to launch higher in my opinion. I think that we’ll see gold, you know, in the coming 6 to 9 months hit 1900, possibly $2,000 an ounce. What takes it there?

Their premise being sort of the ultimate fear is off the table and that in their minds gold is overvalued where it is now. Are you banking, so to speak, everything on the Fed? I think a lot of it is going to be the decline of the color. the color peaked out about June, July, broken one year uptrend line about August, and has been heading down overall since.

Consolidating lately but the next leg got us lower. I saw an incredible headline this morning that said vehicle sales in China January rose 46% from a year earlier. I know platinum is already in short supply.

Platinum demand is going to go through the roof, this kind of trend continues in the world’s fastest growing car market. I think platinum, palladium head higher. Obviously more autos come online with into China and into India. you know, Americans have been holding off in their car purchases for years now. Now they’re saying, okay, probably the worst is over. I’m turning in this old car, getting my new car so i think there’s some renewed demand there showing up in GM’s and Ford’s figures, Toyota’s figures.

All this is putting more demand on platinum and palladium. I see this demand rising and platinum and palladium heading back to their old highs. Carl the biggest variable for the oil market, China data coming in the very near future. ECB meeting today.

What do you see? Well, I still see what you were talking about earlier, economic growth in the U.S. the last time we were at $100 was 2008. So I mean we’re still a long way away from that. Demand here is really what drives us. I think yesterday was a perfect example. We saw inventories rise in crude oil in the u.s. and yet we bounced right back up. So I think we’re going to be watching those ECB numbers and the china numbers but also keeping an eye on how the U.S. does.

Precious metals have always been a safe haven for investing in uncertain economic times. Precious metals are assets that will never lose their value. They are not subject to systematic risks as fiat/paper money and hedge/protect your hard earned wealth against inflation and other threats of devaluation. Cornerstone Asset Metals was established to help guide investors safely in and out of the precious metals market.

Learn more about how buying gold and silver today is a smart move for your investment portfolio.

» Contact Cornerstone Asset Metals today to learn more about buying gold and silver as an investment.

» Read our article: Why Silver is Going Up Today?

» Read our article: Why Gold is Going Up Today?

Past performance is not an indication of future potential values.