Peter Schiff: Gold has risen more than 26% this year and may have its best year since 1979

Economist and gold advocate Peter Schiff has posted several times on X this week highlighting the rise in gold prices and discussing the economic factors affecting gold and related stocks. “Gold is having one of its best years ever, up more than 26% and on track to surpass 2007’s 32% gain,” he said on Friday. Gold prices surged after the Federal Reserve cut interest rates by 50 basis points on Wednesday, the first rate cut in more than four years. He also said that gold “is on track to have its best year since 1979, when it rose 126%.” Schiff also noted that despite the strong performance of gold prices, many traders are quick to sell gold mining stocks at the slightest pullback, "If a $40 increase in gold prices causes gold mining stocks to rise 2%, then a $5 drop in gold prices causes mining stocks to lose half of their gains." He added: "So far, gold prices have risen by more than $540 in 2024, which is the largest dollar increase in history. The fact that this happened in a year when the national debt soared and the Federal Reserve cut already low interest rates - even though inflation is well above the 2% target and trending upward is no coincidence." (Bitcoin.com)