There is absolutely no reason (in my mind) to not buy this dip.
People who made money selling could pat themselves on the back, but honestly the market is overreacting.
Firstly, gold, silver and other precious metals shot up simply because of the volatility that the usa president brought to the rest of the world. Any perceived slight and he threatens tariffs, be it on friends or foes. His new tactic is to threaten invasion, even more reason for safe haven assets to shine.
Secondly, this is an obvious baseless meltdown because of the new fed pick, Warsh. Why is everyone so certain that he is indeed an inflation hawk (for perspective of people who don't keep up much, there is either someone who favours jobs growth or favours tackling inflation, which then affects whether the prefer to maintain or cut interest rates) and that he will ensure some degree of fed independence by resisting the president's pressure?
There will still be hiccups to come from president Trunp, it is simply a matter of time. And just because Warsh is deemed a better option versus the other candidates, is not a guarantee that expectations will hold up.
This dip would be worth buying. It is a VUCA world out there and safe haven assets can only be tripped up with such trivial guesswork, but will continue its run upwards.
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