Gold price outlook for April: Can gold continue to outperform equities?
“Given the current monetary environment investors face, and the ongoing economic and financial market risks, there is little reason to believe the long-term upward trend in gold prices will change soon,” The Perth Mint senior investment manager Jordan Eliseo said Monday. There are four key drivers that are likely to push gold prices higher in April: increased investor demand, monetary policy and fiscal stimulus, negative real yields, and gloomy economic outlook, Eliseo highlighted.
“Continued uncertainty regarding the impact of coronavirus on economic growth should also help support gold, even if a global recession is now the 'base case' for most investors,” Eliseo wrote. “The majority of global sovereign debt now trades at negative real yields, making gold a high yield (and zero credit risk) investment in comparison,” Eliseo added.
