Gold bulls can't see the party ending

Canadian mining entrepreneurs Frank Giustra and Ross Beaty can’t see any end in sight to the gold bull market (reports MiningNews).
25th September 2020
Resources Rising Stars

Canadian mining entrepreneurs Frank Giustra and Ross Beaty can’t see any end in sight to the gold bull market (reports MiningNews).

The two had a "freewheeling" keynote chat in Vancouver to close the 2020 Gold Forum Americas, which was held virtually for the first time due to COVID-19.

Giustra, who had a hand in the formation of Goldcorp, Endeavour Mining and Leogold Mining, said the Federal Reserve was in "forever money printing mode" and the US was in a black hole, with government debt expected to reach US$5 trillion by the end of the year.

"We're coming into a decade now where we might see $20 trillion debt," he said.

He said it was mathematically impossible to repay the debt.

"Investors are just starting to wake up and smell the coffee."

Giustra, who co-chairs the International Crisis Group, said the world was in a dangerous place in terms of geopolitical unrest.

"The old world order is dead," he said.

"There's almost a perfect storm in favour of gold.

"I can't think of a single factor that is aligning against it."

While Giustra expects the most explosive phase of the gold bull market is the next 2-5 years, he couldn't predict how high the gold price would go.

"Pick a number! It could be any number at this stage," he said.

Gold hit a record of more than $2000 an ounce last month.

Beaty, the chairman of Equinox Gold and Pan American Silver, said there was nothing preventing gold from rising well above $2000/oz.

"There's nothing magic about $2000 gold - it's just a number," he said.

"It could be $3000, $4000.

"The gold market is strong, the gold bull market is intact and it's going to run longer and harder than any of us have ever seen in our lives.

"It could well be explosive for quite a few years."

Read more at https://www.miningnews.net/events-coverage/news/1395654/gold-bulls-can%E2%80%99t-see-the-party-ending

 

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