The stars were aligned for gold this week and the yellow metal is now at its highest level in two months. Federal Reserve Chair Janet Yellen has let the world know the Fed will remain dovish. What’s more, violence overseas is making gold a more attractive haven. Add to all that a huge short-covering in bullion and you have the makings of a 3.7 percent rally in gold, with the metal breaking above the $1,320 per ounce level.
Year-to-date, gold is up 7.5 percent. However, according to portfolio manager Chad Morganlander of Stifel’s Washington Crossing Advisors, gold is still not a huge buy.
“There are better opportunities,” Morganlander said. “For the next six to 12 months, gold will be down roughly 5 to 7 percent.”
You can see the full “Talking Numbers” segment below:
Related: SPDR Gold Trust (ETF)(NYSEARCA:GLD), ETFS Gold Trust(NYSEARCA:SGOL), Freeport-McMoRan Copper & Gold Inc.(NYSE:FCX)