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Gold’s Movement Is a “Non-Event”

After a spectacular run, and followed by a recent correction, Frank Holmes says that gold is currently steadying toward its mean. Daniela Cambone, host of Kitco News, wants to know if these swings in the gold price should be of concern to investors. Frank explains that 70 percent of the time gold can move up or down around 20 percent, over a one-year period. Similarly, he says, the yellow metal can swing up or down 1 percent in a day, or around 5 percent in a month.

Although Frank believes the metal’s fluctuation is a non-event, he does think the Federal Reserve’s next interest rate decision will indeed have an impact on gold. Tune in to the full replay below to hear his thoughts on the matter!

 

   Read Frank Holmes’ recent post on gold:
Here Are the World’s Top 10 Gold Producing Mines

 

All opinions expressed and data provided are subject to change without notice. Some of these opinions may not be appropriate to every investor.

Standard deviation is a measure of the dispersion of a set of data from its mean. The more spread apart the data, the higher the deviation. Standard deviation is also known as historical volatility.

The Purchasing Manager’s Index is an indicator of the economic health of the manufacturing sector. The PMI index is based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment.