Video: Sean Hyman Sees Gold Rallying To $1,600 Soon As July Lows Hold
Norman: Would that also be the case, let's say, in a very bad economic downturn? Let's say the debt ceiling issue and everything else unfolds into or creates a deep recession. Would that be negative for gold or positive, in your view?
Hyman: I think it would be positive. So I think we go to $1,500, $1,600 eventually, at any stretch. But if things get overly bearish, if the markets start tumbling too much, if the economy slows down too much, things of this sort, I personally think that that's going to jack gold up even faster. And it would get there much more quickly, and could possibly even go back up to its old highs, if that were the case.
Norman: Really. But you don't see any sort of a liquidation event coming into play as people maybe scramble for liquidity?
Hyman: They will, initially. Any time you have an initial downturn, gold usually does take a hit, because it's so liquid, people can sell it off, many times at a profit for more if they've held it from a long time ago, because a lot of gold holders have been fairly long-term investors. So a lot of liquidity can be had there to cover things like margin calls, or any kind of shortcomings, to shore up their accounts. So some of that does happen initially. But over time, gold tends to do quite well in those conditions.