Basically, according to the World Gold Council, even if there are interest rate hikes, real interest rates will remain low. This, in turn, will ensure a similar situation this year as in 2021, so there should hardly be a headwind for the gold price, at most a lukewarm breeze. Caused by the high inflation level, gold investments should be in demand this year. And in the longer term, according to the World Gold Council, demand from central banks and the jewelry industry should provide a boost to the gold price.
The Fed’s rate hike announcements for 2022 should be seen under the premise that in previous rate hike mechanisms, the promised rate hikes rarely found their way into reality. And if currency devaluation, i.e. inflation, is high, as history shows, then gold becomes more expensive, i.e. rises in price. The influence of inflation on the price of gold is likely to be all the more serious because in the meantime the number of those who assume that inflation is only temporary has shrunk considerably. The World Gold Council also points to extreme monetary and fiscal policies due to the pandemic, supply chain problems, inflation and very high commodity prices. According to the World Gold Council, this year gold will be important in the eyes of investors as a crisis and asset protection.
Gold companies should benefit from this development. That’s where you could look at Gold Terra Resource or Aurania Resources.
Gold Terra Resource – https://www.youtube.com/watch?v=ueS0RMOkMkQ -, with its Yellowknife City Gold Project, is a major landholder in the Northwest Territories with about 800 square kilometers of contiguous land.
Aurania Resources – https://www.youtube.com/watch?v=sabYEJvU89Y – is focused on precious metals and copper in South America. Particular focus is on the Lost Cities Cutucu project in southeastern Ecuador.
Current corporate information and press releases from Gold Terra Resource (- https://www.resource-capital.ch/en/companies/gold-terra-resource-corp/ -) and Aurania Resources (- https://www.resource-capital.ch/en/companies/aurania-resources-ltd/ -).
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/
Swiss Resource Capital AG
Poststrasse 1
CH9100 Herisau
Telefon: +41 (71) 354-8501
Telefax: +41 (71) 560-4271
http://www.resource-capital.ch
Telefon: +49 (2983) 974041
E-Mail: info@js-research.de