Gold Rally Will Continue, RBC Wealth Management's George Gero Tells CNBC

The current rally in gold has not topped out according to RBC Wealth Management's George Gero, who sees a broader global upswing in the future.
By Michael Sheetz ,

NEW YORK (TheStreet) -- Gold hit a new 52-week high of $1,377.50 per ounce on Wednesday, rebounding from its dip over the past several years as currencies continue to weaken around the world.

George Gero, Managing Director at RBC Wealth Management, believes gold's 2016 rally will continue due to the global investment climate.

"We've had a 28% rally and people who have decided to invest in gold are now adding to their gold positions," Gero said on CNBC's "Closing Bell" today. "And I think this may continue as we see other currencies begin to show investors why they need the gold."

The recent gold rally earned more than 28% in countries such as Greece, Venezuela, and the U.K. As a result of gold's upswing and the Brexit vote, Gero thinks people are realizing "that even a stable major currency like the British pound can make new lows, trading downwards of 31 year lows."

"Gold has been a wonderful hedge against not just inflation but deflation," Gero noted. Investment in gold is coming "from all over" the world and analysts will "see it from a global perspective very shortly."

"I believe that China is becoming ever more interested in gold," Gero added.

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