Skip to main content

Goldman Sachs Underestimates Gold's Potential; Prices to Go Higher Than Expected

Publish date:
Video Duration:

(Kitco News) - Gold prices should respond positively to mounting global debt, with firms like Goldman Sachs even underestimating their bullish stance of $1,575 an ounce in three months on the yellow metal, said Frank Holmes, CEO of U.S. Global Investors.

"They're always going to be understated, and clearly that means that it could easily go another $150," Holmes told Kitco News.

"I think it's more important to look at other people that really understand gold as an asset class," he added.

On monetary policies around the world, Holmes said that zero interest rates may return globally as all eyes are on the European economy

"Europe is such a basket case of taxation and regulation that they can't get their economy going so they've gone to zero interest rates, in fact, Denmark is paying you to take out a mortgage," he said.

On the protests in Hong Kong, Holmes said that the rest of the world is silently siding with the U.S.

"I think that China is quite embarrassed by this thing that's taking place in Hong Kong. It's a great test of the moral character of China," he said.

More from Kitco NewsAnthony Scaramucci Says He Could Care Less What the GOP Thinks

Jim Cramer: All That Glitters Is Cramer: Jim Cramer Tackles Gold, Cannabis and the Markets

Premium Pick: Markets Reverse and Surge on China News

Ask the Expert: The Scariest Thing All Investors Have to Face

Ready to Retire: The Biggest Threat to Your Retirement? Check Your Basement

Dog Days of Summer: Why Investors May Be Seeing the End of the Dog Days of Summer

Subscribe to our Youtube Channel for more videos : Listen our latest Podcasts on Soundcloud

Catch Up: Today's Top News Videos Below

This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.

Related Videos