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Starting off with Rich Checkan, an eminent figure with vast experience in the precious metals and rare coins industry. His extensive insights have proved invaluable for individuals and businesses to identify investment opportunities in the niche. As the President and COO of Asset Strategies International (ASI), he’s notoriously believed and stated that gold could likely hit a minimum of US$3,800 in this cycle, while for silver, it could make a high climb to US$90.
What triggers such a bold forecast? This stems from the current economic scenario, inflation, and the conditions surrounding the precious metals market. Let us delve into the concept to understand it more effectively.
Firstly, it is essential to understand Rich Checkan’s confidence in his gold price prediction. A significant reason behind his forecast is that he perceives the yellow metal as a haven against challenging times. In the era of low-interest-rate environments and high inflations, it is often noted that investors flock towards commodities such as precious metals, thereby increasing their demand and, subsequently, their cost. As the traditional store of value, the gold has shown resilience and outperformed many other assets during periods of economic uncertainty.
Bluntly put, as global economies confront the implications of COVID-19 and its subsequent recovery, unprecedented monetary stimulus measures have been administered. This can potentially incite a sizeable inflationary rise, thus catalyzing the surge in the gold prices. The factor becomes more impactful, considering the present circumstances where central banks worldwide are maintaining interest rates at near zero, prompting long-term inflation fears.
Now, shifting the focus towards silver, the poor man’s gold. Amidst the energy transition, silver’s dual role – as a precious metal and an industrial commodity – gives it an upper hand. It further piques investor interest. With the increasing emphasis on renewable energy and digital technologies, the demand for silver has escalated.
Rich Checkan propounds the idea that silver could reach a high of US$90, a price that once seemed unimaginable. But given the circumstances and the surge in demand, it is very doable. This is underpinned by the rising industrial need for silver, combined with increasing investor demand due to its undervaluation relative to gold and its potential price appreciation.
The precious metals market, despite appearing to be stagnant, tends to surprise investors. Since 2000, the prices of gold and silver have risen over five times, reflecting a robust trend. According to Checkan, the underlying factors – increasing demand, supply constraints, inflationary pressures, and economic uncertainties – all indicate that a hike in the price of gold and silver is inevitable.
However, any investment decision should not merely be based on forecasts; it is crucial to understand that these are possibilities, not certainties. Both gold and silver have their own sets of risks. Therefore, potential investors should seek expert advice, undertake thorough research, and evaluate their own risk tolerance before plunging into the precious metals market.
Rich Checkan’s conjectures on the hike in prices of Gold to US$3,800 and Silver to US$90 per ounce, certainly shed light on the potentiality of the precious metals market. The bigger picture indeed indicates that precious metals are more than just glittering trinkets; they are crucial facets of global economics and potential wealth preservation tools. His predictions draw attention to the possible financial benefits that these metals can bring against the backdrop of unprecedented economic conditions.
