MARK MY WORDS! I'm Changing My Entire Price Predictions for Gold & Silver in 2024 - Rafi Farber

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MARK MY WORDS! I'm Changing My Entire Price Predictions for Gold & Silver in 2024 - Rafi Farber

Gold and precious metals have performed well over the last few years. Central bank demand, De-dollarization, and other foreign sources of demand pushed gold to break out of its 13-year cup and handle pattern.
Risk assets are selling off, including precious metals. But gold is outperforming in real terms. Gold has broken out against commodities and reached a three-and-a-half-year high.
Based on recent developments in the gold market, Rafi Farber notes that although gold is rising while other commodities suffer, this divergence signals an impending recession, as a gold-to-commodities ratio is now at an all-time high. Despite a stronger dollar supported by relative US monetary policy divergence, the resilience of gold prices indicates that investors are looking beyond just the US rate market when it comes to gold. In any case, the outlook over the next 12 months is quite positive. A recession should give gold the ammunition to surpass 3,000 and reach 4,000 dollars, eventually carrying silver well above 50 dollars.
In his analysis, Rafi Farber notes a minor short squeeze in the gold market, leading to a price rise as open interest fell. He suggests that if open interest falls to around 450,000, it could signal the market's readiness for the next rally, with additional "fuel" for price increases.
In his assessment, Farber underscores that the recent surge in bank reserves due to market sell-offs highlights underlying financial instability. He anticipates a significant drop in reserves by mid-September 2024, driven by increased issuance of Treasury bills, as banks shift funds from reverse repos to take advantage of higher interest rates. As economists and pundits from Wall Street to Washington ponder whether the economy is headed for a recession or not, banks with greater direct exposure to US consumer loans set aside more reserves to reflect expected patterns in the economy.
In the face of his extensive expertise, Rafi Farber discusses the yield curve nearing an "un-inversion," which he believes signals an impending recession. Farber attributes the prolonged inverted yield curve to the large sums of money previously printed and held in the reverse repo facility. The spread between the 30-year and 2-year yields, which has led to other yield spreads in recent decades, has been un-inverted, and the spread between the 10-year and 2-year yields is about to un-invert.
The last three times this occurred marked the start of gold outperforming the stock market, Fed easing, and lower real interest rates.
In the wake of inflation's surge in 2022, the Fed responded by sharply raising the federal funds target interest rate it controls. While designed to slow economic growth to tame inflation, many analysts feared the Fed's actions, which led to higher interest rates across the economy and markets, would create too many economic headwinds, potentially resulting in a recession.

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Yeah Yeah Yeah, heard this for over a decade. Blar blar blar, $930 million in fines and two in prison and it continues on. Don't forget they have the guns and this won't stop until they decide.

kevhass
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Your talent is what brings the guests here as well as the audience

TaylorSatterfield-ge
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bharatpatni
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SujitKumar-qqbq
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Is Sept 2024 (right now) a good time to buy 1oz gold coins? And is that one of the better methods to invest $50k into gold?

laurenwilliams
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JeetKumar-cfnc
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Trust in those support numbers. They work 85% of the time.

chesterstock
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test-mci
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Thank you very very very very very very very very much

吳俊德-qf
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Anyone looking into versidium? I keep hearing so much about them lately

anugaming
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Rafi is literally always wrong. I don't think he could be wrong any more if he tried.

jakobausterlitz
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Lol omg this is so rich, I am not a financial expert, just a former broker, I don't look at charts or forecasts, just wanted to watching these videos for the past 9 frikking years and I told you silver will drop down again. Only when the mines close and the tractors stop moving will silver price rise

donfischer
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Stop with the click baiting bs. Do you really need that u tube money. Unreal and be real.

singleandlooking
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ShirleyCarr-kz