K92 Mining Inc (KNTNF)

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When it comes to gold, Shiels forecasts a “more bullish trajectory than the 2009-2012 cycle.”

The yellow metal’s outlook is based on slower global economic growth and unprecedented level of monetary and fiscal stimuli.

“New super bullish structural themes have emerged faster than anticipated (bigger gov, unlimited QE, negative interest rates, unlimited deficits, Fed buying junk bonds, MMT-like policies),” Shiels stated.

The path to higher prices is not without its obstacles, including liquidity issues, weaker Asian physical demand, and slower central bank buying.

But, increased Western interest from retail and institutional investors should be enough to “offset weaker physical demand and the short-term headwinds,” Shiels notes.

By Anna Golubova
For Kitco News