Where are we in the Gold Cycle?
The world is slowly moving to wards tangibles and away from financials. The ongoing commodity bull market is eight years old and considering that commodity bull markets over the past 100 years have lasted on average 17 years, the current bull-run could go on for another decade. And the long-term leading indicators for oil, copper and the base metals are all reinforcing this.
As for gold, its main purpose is money. Gold is the ultimate currency, it's a safe haven and it thrives during economic uncertainty. Gold and commodities tend to move together in a general wave but it will outperform or underperform the other metals and commodities at times.
"People's confidence in the stock market went down with the financial crisis," said Ahmed Bin Sulayem, executive chairman of the Dubai Multi Commodity Center (DMCC). "Investing in gold right now is a no brainer. "Whenever markets are unstable gold is a safe haven against all risks,"