Too Far, Too Fast? Gold Up 19% YTD, But Is it Really a Commodities Comeback?

Gold and silver, as well as the mining sector have been among the top performing classes this year, but has the rally come too far, too fast?
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KITCO NEWS - Gold and silver, as well as the mining sector have been among the top performing classes this year, but has the rally come too far, too fast? U.S. Global Investors' chief executive officer, Frank Holmes suggests taking some profits now that gold is up 19 percent since the start of the year, and trading at levels last seen in 2015. Gold (GOLD) - Get Report prices hit a 15-month high Monday, with June Comex gold (GDXJ) - Get Report futures breaching above the $1,300 level before falling back to current levels around $1,296.30 an ounce. With some gold analysts expecting the yellow metal to correct from these highs, Holmes says he welcomes it since he likes buying things 'on sale.' 'We could see a 3 to 5 percent pullback and it would be a good and healthy correction,' he said in an interview with Kitco News.

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