Apr 25, 2019 Guest(s): Alain Corbani Head of Commodities, Finance SA
Current monetary policies have made the precious metals a more attractive investment option, said Alain Corbani, head of commodities at Finance SA.
"My bet, and so far it has been the safest, is to follow what the Fed is saying. So, basically they are saying 'we are not going to raise rates anymore,' they are saying that they don't see a threat on the inflation front. So, the bottom line is real rates will stay where they are. We are going to have a little more inflation ... and twin deficits, high debt-to-GDP. I'll remind you [that these] are the basic ingredients for gold to perform. [It also] means lower U.S. currency, and higher gold price," Corbani told Kitco News at the Prospectors & Developers Association of Canada convention in Toronto.