Lately I’ve been thinking that as we approach the election, the debates and the media coverage will focus more and more on the economy and government debt and the Fed will take center stage as the pressure builds for another round of QE. This should bring gold out of the shadows and into the forefront. Gold has been more or less a “forgotten” investment since the first of the year, so the renewed visibility will be very positive in gold’s move up. Gold needs to top $1,700 and when it does, $1,800 moves into gold’s crosshairs.
Last year, gold hit an all-time high at this time, and then it plunged through the end of the year, finishing up the year at $1,566.40.
Gold is setting up to finish the year higher than the previous year’s close for the 11th year in a row. I wouldn’t be surprised if the record hits 20 in a row before it’s over.