Mainstream Getting Bullish on Gold with Rate-Cut Talk
BY SAMUEL BRYAN
SchiffGold.com
JULY 1, 2016
In his Gold Videocast earlier this week, Peter Schiff said the Federal Reserve will likely use turmoil in the markets following the Brexit vote as an excuse not only to renege on its much anticipated rate-hike, but to cut rates and launch QE4. In fact, Peter was saying the Fed would end up cutting rates in the near future long before Brexit.
Well, the mainstream is catching up with Peter’s thinking much faster than normal this time around, and some analysts are becoming more bullish on gold as a result.
As we reported earlier this week, mainstream talking heads are already discussing the possibility of a Federal Reserve rate cut on major media outlets. Now we have a long article in the Daily Mail making the case that the Fed will take a knife to interest rates and gold will benefit:
The prospect of Brexit, and consequent risks to the global economy, have traders thinking the formerly unthinkable — that rather than lifting rates, the Federal Reserve could opt to cut.”
Analysts aren’t just looking at a Fed cut. Many believe other central banks will move to further ease monetary policy post-Brexit. Bloomberg reported the Bank of England will likely slash rates in the near future:
Havens like gold and silver are in demand on prospects of weaker economies and lower yields on assets such as stocks and bonds, along with prospects central banks will act to support growth. Governor Mark Carney said Thursday that the Bank of England could cut interest rates within months as it tries to shield the UK economy.”
The Rest…HERE
