According to analyst Jeff Klearman of investment company GraniteShares, a recession may soon occur in the Eurozone, as some countries have already seen a cessation of growth. For gold, this factor will be supportive, especially if the Fed continues to lower interest rates.

“Soon, gold will no longer have any restraining factors. Although investors should always be aware of short-term corrections. But on the whole, the upward trend will continue, ”the analyst believes. The geopolitical factor will play a special role in the gold market. He will support the price of gold and silver. Investors and traders are now closely monitoring social unrest in Hong Kong.

As it became known, the Eurozone GDP in the second quarter of 2019 showed a barely noticeable increase. This is due to the weakening economies of some countries. Germany, as the locomotive of the Eurozone, also suffered from a slowdown in the global economy, which was caused, among other things, by trade conflicts and the uncertainty surrounding Britain’s upcoming exit from the EU.