Sprott Asset Management Anticipates Strong Rally in Gold Prices

Wong added that the uncertainties surrounding U.S. interest rates are seen offering further support to gold prices.

SEATTLE (Scrap Monster): Gold prices are expected to continue their upward trajectory and reach much higher levels due to a confluence of macroeconomic and political variables, according to Sprott Asset Management, a prominent global asset management specializing in investments in precious metals and key minerals.

Gold Prices Hover Near One-Month High

According to Paul Wong, market strategist at Sprott, inflationary threats will probably continue to be the dominant factor influencing gold prices in his most recent research on the precious metals market. The full effects of U.S. tariffs have not yet been felt by the world. The cost of items may significantly increase once tariffs are fully implemented. According to him, this inflationary pressure would increase demand for the yellow metal even more.

Wong went on to say that the uncertainty surrounding interest rates in the US is thought to be providing additional support for gold prices. Next week, the U.S. Federal Reserve is expected to make its first rate cut since January in response to President Donald Trump's constant pressure. A extremely favorable atmosphere for gold will be created by the inflationary pressure and possible rate reduction.

Political unrest around the world is another important element that has and still does influence investors' interest in gold, according to Wong.