Gold Prices A Bargain At $1,550; If They Go Lower, It’s A Better Opportunity

Gold Prices an Opportunity at $1,550; If It Goes Lower, It’s Even Better

Gold Prices Could Be Setting Up to Surge

Over the past few years, gold prices have seen a solid run to the upside. The next few years could be much better. A $2,000 gold price seems like a very possible scenario.

At about $1,550 an ounce, the yellow precious metal seems cheap. If it goes lower, gold becomes an even better investment opportunity.

At $1,250 an ounce, gold could be considered undervalued. At $1,050 or below, the yellow precious metal could be a slam-dunk buy.

Why have such a bullish take on gold? Mark my words: gold is a hedge against uncertainty, volatility, currency devaluation, financial crises, and so much more.

Why Gold Could Be Worth the Investment Now

At the moment, everything may look great economically, but that could all turn. This is why gold prices around $1,550.0 an ounce are considered cheap. Things may be fine this year and even the next, but in the long run, we could be headed for a lot of trouble.

For example, did you think the banking sector learned from the mistakes of the previous financial crisis? Wrong.

John C. Williams, President and Chief Executive Officer of the Federal Reserve Bank of New York, recently said the following:

When we talk about company culture in the context of financial services, the first thing that comes to mind is the risky, unethical, and sometimes criminal behavior in the banking industry, particularly during the financial crisis. And 10 years on from the crisis, this behavior persists. Instances of fraud, money laundering, and scandals related to foreign exchange and LIBOR continue to make the headlines.

(Source: “Getting to the Core of Culture,” Federal Reserve Bank of New York, January 14, 2020.)

If banks haven’t learned much over the past 10 years, chances are there are problems in the making. Things could boil over into something bigger, and all of a sudden we could have a financial crisis on our hands.

But this isn’t all.

We have seen a massive run in assets across the board. For example, look at the stock market. Key stock indices have surged to an all-time high. As it stands, valuations look extremely expensive relative to the historical averages.

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