Peter feels that a slowdown is coming but that there won't be an official recession in 2020, perhaps 2021. The overall equity markets will likely be flat next year because of the Fed's actions in keeping up the markets.
There was a lot of physical off-take of gold and silver by North American investors between 2008 and 2011. The price of gold will need to head higher than $1550 to attract retail investors back to the physical sector. He advises investors to consider producers and royalties over risky juniors.
Time Stamp References:0:40 - Recession potential and the Fed.1:40 - Retail demand for gold and silver.3:40 - Thoughts on the gold market.5:40 - Managing your gold portfolio.7:40 - His early career highlights.10:30 - His preferred way to play this market.12:30 - Watching the overall macro picture.
Peter Hug has been involved in precious metals since 1974. He began gaining first-hand investment industry experience at Deak-Perera. He served as SVP at Guardian Trust Company, which became one of the largest international trading houses for precious metals. He developed the first precious metals certificate program and the first margin trading accounts for metals on the cash market. Peter has acquired extensive experience in the wholesale markets and international asset diversification. A frequent speaker at precious metals conferences and in the financial media, he is one of the handful of experts who have succeeded through multiple bull and bear cycles on the strength and skills honed during the dramatic fluctuations of the 1980s. As the Director of Kitco's Precious Metals Division, Peter develops newer and better investment options for Kitco customers.