Gold, Metals a Good Place to Be, Most Enticing Dividend Shares

The US Federal Reserve’s subsequent assembly is rapidly approaching, and buyers have questions concerning the economic system.

Chief amongst them is whether or not the nation is heading towards a recession. Chatting with the Investing Information Community, Marc Lichtenfeld, chief revenue strategist on the Oxford Membership, mentioned he is been backing away from that forecast for a while.

For one factor, US unemployment is close to file lows whereas wages are growing. “It is tough to have a recession with a state of affairs the place everyone’s working and getting paid extra,” he famous. For an additional, the inventory market has been sizzling in 2023.

“Typically talking, if everyone coming into this 12 months was very apprehensive a couple of recession, after which the market takes off the best way it has, that is a powerful sign that we might not get that recession that we’re all anticipating,” Lichtenfeld mentioned.

Nonetheless, different indicators recommend a recession is certainly on the horizon. These embody the inverted yield curve, in addition to a falling Chinese language producer value index. “No matter what the trigger is, if these costs proceed to come back down that also needs to carry costs additional down within the US. At this level it is just a little tough to see precisely what impact that can have,” he mentioned.

Emphasizing that he is not a permabull, Lichtenfeld mentioned he is bullish on gold and most metals on this atmosphere.

“Proper now I’m bullish on gold. The principle motive is the US greenback has been falling. We have been close to 20 12 months highs not that way back, nevertheless it has been falling fairly quickly over the previous couple of months, and so gold is a superb hedge towards that,” he famous. “Additionally, regardless that inflation is coming down it has been considerably greater, and simply on the whole for the long run gold is an effective hedge towards inflation. So for those who do imagine that there is nonetheless some inflation left to be labored out, then that is another excuse to personal some gold.”

Watch the interview above for extra of Lichtenfeld’s ideas on different commodities, his technique for investing in dividend shares and the place he sees probably the most enticing dividends in the meanwhile.

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Securities Disclosure: I, Charlotte McLeod, maintain no direct funding curiosity in any firm talked about on this article.

Editorial Disclosure: The Investing Information Community doesn’t assure the accuracy or thoroughness of the data reported within the interviews it conducts. The opinions expressed in these interviews don’t mirror the opinions of the Investing Information Community and don’t represent funding recommendation. All readers are inspired to carry out their very own due diligence.