April 13th 2023 Free Analysis - Gold

A hedge for Inflation

my pocket analyst

Hey MPA Investors!

The weather has been seriously unstable in my neck of the woods and it feels like it's taunting me. I'm really not looking forward to summer. The heat is just out of control. But either way summer here we come. And same goes for the MPA analysis. So let's jump right in:

THIS WEEKS' MOVERS SNAPSHOT

Gold (Commodity: GCW00) - Do you remember those late night commercials that were selling those collectable gold coins? Today's mover just made me think of those. Gold can be purchased on the commodity market, but it can also be purchased in coin form. So let's take a look at this opportunity.

Why Natural Gold?

You might have heard about the "banking crisis". Whether it's an actual banking crisis or a couple bad players can be debated, but what can't be denied is that affect it has had on the price of gold. Gold is considered a hedge against inflation. Which means the price of it goes up when inflation goes up. Unlike the value of money which decreases when inflation rises. So as the dollar has gotten weaker due to inflation, gold has seen a increase in it's value. And we think there's more to go.

Why we feel there’s a buying opportunity:

1. The FOMC (Federal Open Market Committee) of the U.S. Federal Reserve will convene on May 3 to determine the target Fed Funds rate. Both the size of the labor market and the rate of inflation have an impact on the FOMC. The price of gold and other assets are significantly influenced by the Fed Funds rate. So based on their decision the price of gold will more than likely increase.

2. Here is what some banks believe gold will hit in the near future: a. Citigroup thinks we'll see $2,300 b. Saxo Bank is forecasting $3,000 c. We at MPA believe we can conservatively see $2,300

CURRENT PRICE (as of this email): $2.59

TERMS YOU NEED TO KNOW

Corporate Social Responsibility -  A business’ commitment to their customers, employees and communities around the world to be conscious of the kind of impact they are having on all aspects of society, including economic, social, and environmental. Obviously this responsibility isn't always prioritized.

See you on Monday!Thibaud & PhilipInteresting Investment Facts:  The dollar sign "$" was first used in 1785.

Let’s talk investment risk:

No matter what anyone tells you, every investment comes with risk. Even keeping your money in the bank comes with risk. The risk isn’t very high for keeping your money in the bank, but there’s still a risk. Believe it or not, there’s even a risk for keeping cash. You could have it stolen or in 5 years it could be worth less than it’s worth now because of inflation. So it’s important to understand the different levels of risks that come with investing of all kinds. We would not recommend investing in individual stocks as a retirement plan. If you’re interested in investing in stocks for other reasons, the analysis we give you could help. But we have to be clear, these are NOT recommendations, this is analysis. We give you the analysis similar to what pros get and you decide what to do with it. Our mission is to put the same information that the pros get, into the hands of everyday investors like you in a way that is easy to understand.