More Money Will Move Into Gold

As the potential for an interest rate hike is diminishing the appeal of Gold (SPDR Gold Trust ETF (NYSE:GLD)) is improving. Gold prices (SPDR Gold Trust ETF (NYSE:GLD)) are now back above 1260. We had a couple of back to back strong days in the gold sector (Market Vectors Gold Miners ETF (GDX)) and maybe this most recent correction of the upward trend which the catalyst for it was the renewed expectation of a November and December interest rate hike, I think as those expectations are reallistically dialed back we are going to see more money moving into the metals (SPDR Gold Trust ETF (GLD), iShares Silver ETF (SLV))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

If The Fed Raises Interest Rates Everything Is Going To Collapse

I do not believe that if we raise interest rates everything is going to be fine. I recognize that if we raise interest rates everything is going to collapse. (SPDR S&P 500 Index ETF (SPY), iShares Russell 2000 Index ETF (IWM), SPDR Dow Jones Industrial Average ETF (DIA))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

Bond Yields Are Moving Up

Another week when the Dollar remained relatively firmly bid, the Dollar Index closed just above 98. Gold is not really going down but its not really going up either. What is going up are bond yields, long-term bond yields just made a 4-month high with the 30-year yield at 2.55% and the 10-year Treasury yield just below 1.80% and this despite the fact that the economic news during the week, on balance, were generally weaker than expected.  (SPDR Barclays Capital High Yield Bnd ETF (JNK), iShares Barclays 20+ Year Treasury Bond ETF (TLT), U.S. Treasuries, iShares iBoxx $ High Yid Corp Bond ETF (HYG))

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.