Posts by Adam Baratta

$2000 Gold is on the Way

The recent breakout above the $1450 level could potentially set the stage for a run higher to previous all-time highs near $2000 per-ounce or far beyond. Although the market may be susceptible to a near-term pullback, such a correction is not only healthy but would be welcomed by eager buyers. The upside breakout in gold is gathering steam just as the stock market looks ready to fall through the floor. Recent volatility spikes in equities could be just the tip of the iceberg, and markets... Continue Reading

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Rates Will Be Back to Zero in No Time

The past trading week has been an interesting one. The highly anticipated FOMC meeting has now come and gone, with the central bank cutting the Fed Funds rate by 25-basis points as expected. The Fed did not, however, seem to provide the type of dovish message that the stock bulls were looking for. Stocks sold-off hard following the Fed’s decision. On Thursday, stocks were set to stage a significant rebound and looked poised to retake all the declines from the previous day. That was until... Continue Reading

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A Busy Week Ahead

The gold market is slightly higher in early action Monday as the markets await several key pieces of economic data. Highlights of the week will include the conclusion of the Federal Reserve meeting Wednesday, the latest non-farm payrolls data due for release Friday and any developments from trade talks taking place in Shanghai. The Fed is widely expected to cut its key interest rate by 25-basis points at the conclusion of its two-day meeting on Wednesday. Market expectations for a 50-basis point cut had dwindled... Continue Reading

6-Year Highs Just the Beginning

The gold market recently powered to a 6-year high as the notion of a dovish Fed and easy money policies gained further steam. The market saw a buying frenzy take prices straight to the $1450 region, a level which, if breached, could signal a much more significant upside rally. The market may simply be getting started in the early stages of the next great bull market which could take prices back to all-time highs near $2000 per-ounce and well beyond. There are numerous factors that... Continue Reading

New Highs May be Seen

The gold market is slightly lower in early grade Monday, but remains firmly above the key $1400 level. The market may simply be taking a breather before it begins another leg higher. Overnight, fresh GDP data out of China showed the slowest growth in the country in 27 years. The market reaction has been muted thus far, however, as some key data points for June were more encouraging than expected. The significant slowdown in GDP is clearly a cause for concern, especially at a time... Continue Reading

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All Eyes on the Fed

This week features the release of the latest FOMC meeting minutes as well as testimony before Congress by Fed Chief Jerome Powell. The minutes will be released on Wednesday, while Powell’s remarks will begin Wednesday and conclude Thursday. The latest meeting minutes will likely take a back seat to Powell’s comments, and investors are hoping that the Fed Chief will provide some clarity about the central bank’s plans regarding rates going forward. Expectations for an interest rate cut have been dialed back in recent days... Continue Reading

Three Reasons Now is the Time

The gold market has been garnering more headlines in recent weeks as the metal has been trending higher and seemingly staged an upside breakout from its previous trading range. With the metal trading solidly above the $1400 level, a test of resistance around $1450 could be the next major tipping point. Analysts are citing numerous reasons for gold’s recent upside, including risk aversion and a stronger technical posture. Below are three reasons that gold may continue higher, and these issues could potentially push the metal... Continue Reading

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Key Bullish Factors

The gold market has seen significant buying interest in recent weeks and appears poised for further upside. The market has seen an improving technical posture that, combined with current fundamentals, could see prices challenge previous all-time highs around $2000 per-ounce in the months ahead. Not only could the market retest those previous highs, but it could potentially move well beyond into uncharted territory. $3000, $5000, even $10,000 per-ounce or more are all distinct possibilities. In the near-term, there are three primary factors that may fuel... Continue Reading

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Gold Hits 6 Year High

The gold market exploded this week, as numerous economic and geopolitical issues fueled a buying frenzy that has seen prices hit the highest levels in six years. The upside seen this week could simply be the tip of the iceberg and the opening rally of a multiyear bull market. The U.S. Federal Reserve this week left interest rates unchanged. The central bank did appear to be very divided, however, over the course of policy going forward. The Fed left itself a lot of wiggle room... Continue Reading

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U.S. Hardline Stance May Cause Dominos To Fall

The current state of geopolitics and the global economy warrant caution. Stocks are moving slightly higher in early action on Monday as the markets seem to be pinning their hopes on the Fed and another series of rate cuts. The Fed will be meeting this week, and although no action is expected on Wednesday, the central bank could lay the groundwork for the first rate cut in over 10 years next month. There are currently several issues at work, however, that could potentially set off... Continue Reading