As gold prices moved higher Monday morning, one chief market strategist says he has a bullish outlook for the commodity given the posture of the U.S. Federal Reserve.
Bullion prices were trading around US$2,455 an ounce late Monday morning after falling 0.5 per cent last week, Bloomberg News reported. Bob Iaccino, co-founder and chief market strategist at Path Trading Partners, said in an interview with BNN Bloomberg on Monday that he is a “huge gold bull right now.”
Since around November 2022, he said there were three paths the price of gold could take: “...sideways, down and up, and two of the three seemed to support the up prospects for gold.”
“I think we’re still in that situation. If you were going to see gold (prices) fall, you have to see the Fed fighting inflation. You have to see tighter monetary policy,” Iaccino said.
“And there doesn’t seem to be any way, even with a resurgence of inflation at least in the short term, that the Fed fights that resurgence, at least not initially.”
To watch the full interview with Iaccino, click the video at the top of this article.
