Carson Fitch recently announced that they expect strong trends, corrections, and exceptionally wide ranges to make exciting times for gold futures traders in 2014 and that hyper-volatility will provide a market that will be full of opportunities. From the beginning of 2014 gold prices have already experienced a 5% increase and that all that glistens will be gold in 2014.
City, State, Hong Kong., January 29, 2014 - (PressReleasePoint) -
Preston Heath, president of Carson Fitch commented, “Higher prices and volatility will occur on the back of increased interest in gold, which will again serve as a portfolio diversifier, a portfolio saviour, a hedge against currency debasement, a hedge against inflation or deflation, a form of savings and more.”
Preston Heath believes the low or negative interest rate environment and excess currency liquidity have will again be key factors driving investor demand in gold in China, India, Europe, and the United States. He states, “The primary catalyst will be a background of negative dollar real interest rates. In the face of financial turmoil including the European debt crises, a weak dollar, and a weak Euro, investors will move to gold for protection and a store of value.”
“Gold is an excellent portfolio hedge, because it is a non-correlated asset. Other common reasons investors are drawn to gold is political unrest as well as event risk. Whichever way you look at it investors now use gold for both a hedge against inflation, while others use gold against deflation.”
“Carson Fitch we have been actively encouraging clients to take some exposure to gold. The vast majority have already done so by taking gold futures options, while a few have taken bullion. We believe that the next few months will be crucial to become involved, as the adage goes, ‘strike while the iron is hot’ and the gold market is heating up,” Preston concluded.