gold news

 our next guest that's going to be Alan hiard precious medals and alternative money specialist at goldsilver.com welcome to the show Allan hey Tom thanks for having me all right so let's get it out of the way gold uh hitting fresh all-time highs overnight now Allan is this on the back of uh you know inflationary pressures because it seems like yields are coming down that wouldn't be as supportive but the Dollar's also falling that's lending some but is this about central banks

around the world starting to scoop up even more of the precious metal at this point well yeah it is it's definitely central banks it's definitely inflation it's definitely tariffs which are inflationary and it's kind of uncertainty in general so yes central banks have been huge buyers of gold we saw that in 2024 and that trend is absolutely continuing uh and now with the new incoming Trump Administration a lot of the uncertainty that we had going into it is translating into a different

kind of uncertainty now that we're here so you know are we going to get tariffs are they going to be 10% is it Canada Mexico is it is it 25% is it 50% or maybe we'll wait until next month or maybe we won't do it at all or maybe it's up maybe it's down I mean all the back and forth is just volatility for markets in every way imaginable so it's a combination of volatility inflation Central Bank demand it it all is extremely bullish for gold right now yeah and if you take a look at some of

the inputs and you mentioned it the Tariff headlines are are causing a lot of the volatility I think in this space at this point but you know if the Trump Administration is just using them as a bargaining chip like it seems like you know to get what he wants at this point china is doing some retaliatory uh measures on their side kind of pushing back a little bit but you know it doesn't seem like it's going to get exhausted anytime soon unless that dollar reignites at this point and it seems like every time that dollar pulls

back you know you got somebody coming in there buying it and that's going to lend some pressure but you know it seems like this is one of those asset classes even though you know people might have just 1 2 5% of their portfolio in it it's worked out well and it doesn't seem like it's going to stop anytime soon Allan yeah I agree with you and to your point it is absolutely possible for the dollar to receive a lot of capital from around the world and for gold to receive a lot of capital from around the world so I

mean Fiat currencies in general are unattractive but sometimes you have to pick the least dirty shirt in the hamper and a lot of times that's why the US dollar benefits however sometimes you don't want any Fiat currencies at all and no matter where you live in the world gold is an attractive investment so we have seen investors increasing their allocations yes often times it is only 2 to 5% of their portfolio but there are a lot of investors that we're having conversations with that say you

know what I feel more comfortable with 10% 15% or even 20% right now and especially when you compare it to something like the S&P 500 last year the S&P returned 25% which is incredible but gold did even better gold was about 25.2% close to 26% so a lot of people don't realize that gold isn't gold isn't just like sitting out of the markets a lot of times it's better than the markets it's it's less volatile it'll reduce the volatility of your portfolio and in many cases it'll give you greater

returns yeah uh you definitely have to uh wonder about curency risk right now I think a lot of companies are on an individual corporate level at this point but when you start looking at geopolitical risks uh you know moving forward Allan with the new Administration in you know the resolution potentially in uh Israel and Gaza you know Ukraine Russia does that go away anytime soon is that one of the caveats where are we going to see less political implications here for maybe the commodity space in

general it's a good question and I don't think that there is like one definitive answer however with all the tariffs and all the trade Wars going on I mean that's a proxy war for a hot war and if you don't have goods and services cross Crossing Borders you'll have soldiers and bombs Crossing Borders before long so we're in a situation now geopolitically where a lot of our allies are becoming enemies or at least they're being treated that way and some of our enemies are being treated like allies so

it's confusing in that sense and it does create a lot of volatility and no one really knows how it's going to play out um but I think a lot of investors are going to Gold because it is a safe haven it is a safe haven against geopolitical risk and all that kind of uncertainty in addition to the business uncertainty the financial uncertainty and all that so I think gold is going to remain attractive here throughout 2025 and probably the entire Trump Administration yep uh definitely inflationary pressures due to

those potential tariffs we'll call them at this point uh let's hope they don't uh stick at this point but when you look at uh you know the rest of the commodity space here Allan you know crude oil is getting hit a little bit today over down over 2% that could be a caveat also if we continue to see oil prices continue to drip down does that wash away some of those inflation pressures maybe a little bit but I think that the energy uh move is is sort of a tiny factor in the grand scheme of

things of course it is important no question about it but I think that some of these other uh Tailwinds for gold are going to be a much bigger Factor so even if energy comes down a little bit there are so many other factors at play that we've mentioned throughout this conversation that I do think gold is going to move higher um significantly throughout 2025 all right we'll continue to watch that story appreciate it that's Alan hird uh joining us breaking down the commodity space have a great day

Alan