Fed Chairman Powell has now stated that the time is ripe for interest rate cuts. This has weakened the US dollar. And the prospect of falling interest rates is positive for higher gold prices, as gold is not known to provide current income. Investors are therefore eagerly awaiting the interest rate cuts, which should give the gold price a significant boost. The experts at Commerzbank, for example, have raised their price forecast for gold at the end of the year considerably. Gold currently costs almost twice as much as it did at the start of 2018 and has risen by almost 27% since the beginning of the year.

Gold is traded in US dollars and a weaker dollar makes the precious metal cheaper for investors from other currency areas. Gold is seen as an insurance policy and the various uncertainties, such as sovereign debt, the Middle East and the upcoming US presidential election, are doing the rest. As a result, gold exports from Switzerland to the UK, the USA and India have also risen. Demand for gold is increasing in India in particular. Presumably because the import tax was lowered, and the monsoon was also good.

Gold ETFs listed in the USA and the UK have also increased. On the subject of gold and China, it should be noted that the Chinese government recently issued new gold import quotas after a two-month break. Gold also still has the status of a safe haven. The extent to which people bet on gold in times of crisis was seen, for example, when Russia invaded Ukraine. A similar trend was observed when war broke out in the Middle East. As a means of preserving value, many developing countries rely on gold, which has already proven itself as a hedge against currency devaluation. Investors receive diversification directly from royalty companies.

Gold Royaltyhttps://www.commodity-tv.com/ondemand/companies/profil/gold-royalty-corp/ – is active in North and South America. The annual forecast of USD 13 to 14 million in total revenue is likely to be achieved.

Osisko Gold Royaltieshttps://www.commodity-tv.com/ondemand/companies/profil/osisko-gold-royalties-ltd/ – focuses on gold and copper. The extensive portfolio is focused on North America.

Current corporate information and press releases from Osisko Gold Royalties (- https://www.resource-capital.ch/en/companies/osisko-gold-royalties-ltd/ -) and Gold Royalty (- https://www.resource-capital.ch/en/companies/gold-royalty-corp/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 – 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/

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