After seeing some moderate selling in early trade today, the gold market has been clawing its way back to nearly the unchanged level for the session. At the heart of gold’s reversal could be commentary from President Donald Trump. The President recently suggested that the U.S. was not going to follow up on previous discussions phase out tariffs along with China as part of the Phase 1 trade agreement gets ready for signatures.
Not surprisingly, the gold market’s rise today happens to coincide with stocks falling to session lows. There is a lot of day left, however, and it is still unclear if the yellow metal will be able to finish the session higher, unchanged, or lower. This is how quickly things can change.
The ongoing U.S./Chinese trade war remains a focal point for global markets.
Yesterday, stocks saw a good bump higher as rhetoric coming from trade negotiations was solid and encouraging. Thus far today, that paradigm has shifted a bit. Stocks are on the defensive as gold sits idly by, potentially waiting for a rush of buying that could put it firmly into the green for the session.
The sometimes-rapid change in expectations is something we discussed in a recent post. Even if a trade deal is reached, chances seem good that there will be disagreements along the way and potentially even further measures taken by one or both sides to try to get what they want out of the deal. The globe’s first and second-largest economies have decided to lock horns, and it may be some time, in fact quite some time, before all the damage is done and contained. This could potentially lead to a rougher road ahead for the global economy and stock investors. It is also, however, another solid reason that now, right now, may be the ideal time to add diversity with physical gold.
Adding the yellow metal to your portfolio has never been easier, and perhaps never more important. Just pick up the phone and speak with an Advantage Gold account executive today about the potential benefits of gold ownership and to learn more about the key role it may play going forward. Our associates are here to answer any questions you may have and can even show you how to build a significant allocation using an IRA account. An IRA account may be the best way to build a significant allocation in the yellow metal, as it may potentially provide serious tax advantages and savings. You may already have an IRA account with stocks, bonds or related assets in it currently. Why would you not do the same thing for gold or other hard assets you may want to buy and own?
The time to consider a large allocation in gold is now, right now. Don’t wait for the next major wave of economic slowdown to put the global economy into recession. Also, don’t wait for the gold market to take off without you. Explore your options for gold ownership today. Call Advantage Gold at 1-800-341-8584 to get started now.Tags: gold, investment portfolio, moderate selling, Phase 1, president trump, tariffs, trade agreement, trade war