Should you buy gold?
The writer mentioned that the research he conducted on the impact of prices on the margins imposed by brokers on gold futures contracts led to the fact that investors who included gold in their investment portfolios along with stocks, bonds and cash were better off in the period between 1989 and 2009.
It is interesting that the situation is different for investors who added other commodities, such as cotton and copper, which highlights the characteristics of gold and other commodities, and it seems that the performance of gold and crude oil differs from the rest of the commodities.
The writer cautioned that forecasting asset prices is not easy at all, and investors always need to be careful, and the more negative news about economic growth, the greater the chances of gold prices rising, and even in this case, the path that gold prices will follow may seem unclear.
And if the bad news causes stock markets to decline again, as is the case with the Corona virus crisis, then investors may sell gold and other commodities to compensate for their losses in other assets, and in fact doing so will constitute pressure that may cause gold prices to drop, the writer says.....
