'Perfect time' to buy gold amid market uncertainty? Economist Peter Schiff has this to say
Peter Schiff highlights the importance of gold in the heated US stock market conditions
US investors may be feeling the heat of the uncertain stock market conditions, but economist Peter Schiff is optimistic about one asset: gold. The asset has been surging steadily over the past, having risen by nearly 40%, but Schiff believes that this rally is just getting started.
The financial advisor even took to Instagram back in March 2017 to say, "Today marks a monumental moment in gold history as the spot price closes above $3,000 an ounce. Despite the media's silence, this development is significant."
"While central banks stockpile gold, retail investors have a unique opportunity to capitalize. With gold expected to rise to $4,000 and beyond, now is the perfect time to invest. If $3,000 gold feels out of reach, consider silver, currently below $34 an ounce and primed for gains", he continued on his video post's caption.
Why do investors turn towards gold?
For Schiff the concept is quite simple. He believes that inflation isn't going away anytime soon and therefore many investors may turn to gold as a 'hedge against inflation'.
He also asserted that the central banks' appetite for gold is increasing, signifying that something deeper is at play. He is of the opinion that central banks' buying of gold is not just about portfolio diversification. Instead, it is a major warning sign that investors may be missing.
Schiff also had something to say on silver as an asset. In his Instagram video from March 18, the economist said, "Silver is lagging behind gold, but that might be the biggest opportunity in the precious metals market right now. While gold is up 50% from its 2020 high, silver still hasn't caught up — and that’s not normal."
Is Gold IRA a good option?
According to a MoneyWise report, those investors who are looking at capitalizing on gold as an investment asset while also securing tax benefits could try opening a Gold IRA. This allows them to keep physical gold or gold-related assets inside their retirement account, giving them the necessary tax advantages.
Using a Gold IRA keeps one battling inflation over time, while also availing the necessary privileges of a retirement account.
