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Has Gold Found A Bottom?

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Has Gold Found A Bottom?

Craig Erlam is not convinced that gold has found a bottom.

Erlam is a market analyst at Alpari UK, and he recently joined Benzinga’s #PreMarket Prep to talk about why he expects to see more downside in gold in the long run.

“I was surprised that it didn’t break below those lows at $1131, but I think it is only a matter of time,” he said.

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Erlam thinks the strength in the U.S. dollar will hamper any upside in gold, since a stronger dollar yields cheaper commodity prices. He believes this is going to be one of the main reasons that the market will see weakness in gold over the next few years.

“Especially considering a lot of people believe this dollar rally is only just the beginning. If that’s the case, it’s going to weigh on gold prices,” he said.

Erlam also talked about the European Central Bank and crude oil.

Check out his full interview here:

Don’t forget to tune in to Benzinga’s #PreMarket Prep broadcast Monday-Friday 8-9:45 a.m. ET for a live, interactive morning show with veteran traders and featured finance industry experts ready to answer your questions for the trading day.

Posted-In: Alpari Benzinga #PreMarket Prep Craig Erlam Crude Oil European Central BankCommodities Markets Interview Best of Benzinga

 

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