Coronavirus fears have sent the stock market on a roller coaster ride. Where it will end, no man knows.
Warren Buffett in his 2020 Annual Newsletter wrote, “Anything can happen to stock prices tomorrow. Occasionally, there will be major drops in the market, perhaps of 50% magnitude or even greater.”
Such a drop could send gold prices soaring
In a telephone interview with Kitco News, Ryan Giannotto, director of research at GraniteShares, said that the last time the Federal Reserve announced a 50-basis-point inter-meeting cut was back in 2008. After that announcement gold prices embarked on a major bull run, rising more than 17% that year.
“We have seen seven emergency cuts before and gold has rallied on 26% on average during the first two years follow each of those events,” he said. “It would be very unwise to rule out a move to $2,000 by the end of the year.”
He noted that in the past year the Federal Reserve has embarked on a new easing cycle, the bond yield has inverted and now markets are digesting an emergency rate cut.
“Anyone of these factors would be a bullish scenario for gold and we have now had all three,” he said.
Discussing these factors is Jack Hanney, chief spokesman for Patriot Gold Group.
Q&A:
1. How will the fed’s emergency rates cuts impact the economy?
2. What are the best-case and worst-case scenarios for the Coronavirus’s impact on the US economy?
3. How prepared is the government to handle the Coronavirus?
4. When will the markets stabilize?
5. How does gold get to $2000?
6. Are investors wise to buy the dip in the markets or sell the rise?
7. Where may people get more information on these topics?
ABOUT JACK HANNEY…
Jack Hanney has been in the financial markets for 20+ years and is widely heralded as an expert in his field.
Born and growing up in Westchester County, NY where his father was a successful politician and owner of an Insurance Brokerage Firm. Jack began subscribing to The Wall Street Journal at the age of 14 and moved to California in his early 20’s to study under William O’Neill, arguably the single most successful investor in the history of the markets and founder of Investor’s Business Daily and author of How to Make Money in stocks.
Jack Hanney went on to be the General Manager and Director of Sales at several algorithmic automated trading companies trading the futures and commodities markets working with Introducing Brokers out of Chicago, Geneva and NYC. Jack was recruited by several tech startups and made a name for himself at Infosearch Media, Virtumundo and The Design People before returning to Finance. Jack passed on Morgan Stanley and other reputable, prestigious Brokerage firms to be a CFP in their Wealth Management Divisions and opted for a position as Senior Executive Trader with MG Private Client Services where he spent 4 years 2010-2014.
Jack Hanney had spent two years as Director of Trading, Executive Vice President of WDM overseeing the Retail Division before collaborating with two other prominent experts in his field and opening Patriot Gold Group a collective of Industry-Leading Experts bringing their clients Investor Direct Pricing and superior customer service.
Jack has written over 200M in business and trades maintaining outstanding relationships with his clients at Patriot Gold Group (PGG), where he is a senior partner, who he refers to as dear friends and family and now … welcoming them to the PGG family of investors. Jack resides in Los Angeles, California and is the proud father of his two daughters, Kate age 10 and Luna age 18.
