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As gold climbs to record highs, inflation rears its ugly head again and the Trump Administration makes big changes to government, trade
Peter is the Chief Investment Officer at Bleakley Financial Group, an $8 billion wealth management firm. CNBC Fast Money viewers will recognize him as a frequent contributor where he offers his widely followed insights on stocks, the economy, gold and more.
In the wide-ranging discussion below, we uncover a plethora of important investing insights for you to consider now.
___________________________________________________________________________________________
Blanchard: What are the top three risks you see for the U.S. stock market and economy in 2025?
Peter Boockvar: I see three key risks right now. First, the Magnificent 7 stocks lose their dominance as investors question all their artificial intelligence spend and Apple loses its premium valuation because of little growth. Second, the bear market in bonds gets worse as interest rates continue to move higher. Lastly, high valuations in the U.S. leave little room for error.
Blanchard: Do you see risks for expanding military conflict over the next several years?
Peter: We do hope that the Russia/Ukraine war ends as well as the Israel/Hamas war, which could mean a potential downshift in active military conflicts. That said, Iran will remain a threat. And, we’ll be watching China and Taiwan closely.
Blanchard: What are your thoughts on gold’s role in a portfolio today?
Peter: Gold is an important investment asset to own because it’s a form of money. And notably, investors and foreign central banks around the world today want to own less dollars.
Blanchard: How might President Trump’s administration impact the price of gold?
Peter: They are discussing a possible revaluation from how the government currently marks gold reserves to the market price. The current government market value stands at $42, which is significantly lower than the market value of an ounce of gold around $2,926. This action could create a floor under the price of gold at whatever price the Trump Administration chooses to mark our nation’s gold reserves at.
Blanchard: How will the growing consumer demand for gold in India and China impact global gold prices?
Peter: The evidence of the impact is obvious with gold rallying in the face of higher interest rates and the U.S. dollars.
Blanchard: How is the ongoing central bank buying trend, particularly from developing countries, influencing gold prices?
Peter: Central banks should remain persistent gold buyers as they choose to reduce the percentage of their assets in U.S. dollars.
Blanchard: We just saw U.S. CPI jump higher to a 3.0% annual rate. Is gold an effective hedge against inflation?
Peter: Yes. Gold has maintained people’s purchasing power over the history of time much better than fiat currencies have.
Blanchard: How might the U.S. fiscal deficit and growing national debt influence gold prices in 2025?
Peter: Excessive U.S. debts and deficits have definitely caught the attention of the rest of the world. This is one reason why foreigners want to own less U.S. Treasuries and more gold.
Blanchard: What is your outlook for the U.S. economy this year and what could it mean for gold?
Peter: Currently, the U.S. economic outlook is mixed and uneven. There are three main factors powering the economic growth that we have seen. The first driver is high income spending, the second is artificial intelligence spending and thirdly, anything related to government spending. Notably, everything else has been weaker. Gold performs well in the stagflationary environment that we seem to be mired in.
Blanchard: After making 41 new record closing highs in 2024, gold has continued to set new records in early 2025. What does this trend suggest for gold in 2025?
Peter: In the short-term, gold is likely getting overbought. But I’m still positive on the outlook for the price of gold this year.
Blanchard: What are some of the factors that could push gold higher this year?
Peter: A continuation of current trends will continue to drive gold.
Blanchard: How do you see gold performing relative to other precious metals like silver and platinum this year?
Peter: Silver and platinum could catch up in performance.
Blanchard: Is now a good time to buy gold?
Peter: Yes.
Blanchard: If American investors don’t currently have an allocation to gold right now, what is your advice for them?
Peter: Get some.
If you’d like to discuss the content of this report with a Blanchard senior portfolio manager please give us a call today.
Want to read more? Subscribe to the Blanchard Newsletter and get our tales from the vault, our favorite stories from around the world, and the latest tangible assets news delivered to your inbox weekly.
The post The Full Report: Blanchard’s Exclusive Interview with Peter Boockvar appeared first on Blanchard and Company.
Read more
Peter is the Chief Investment Officer at Bleakley Financial Group, an $8 billion wealth management firm. CNBC Fast Money viewers will recognize him as a frequent contributor where he offers his widely followed insights on stocks, the economy, gold and more.
In the wide-ranging discussion below, we uncover a plethora of important investing insights for you to consider now.
___________________________________________________________________________________________
Blanchard: What are the top three risks you see for the U.S. stock market and economy in 2025?
Peter Boockvar: I see three key risks right now. First, the Magnificent 7 stocks lose their dominance as investors question all their artificial intelligence spend and Apple loses its premium valuation because of little growth. Second, the bear market in bonds gets worse as interest rates continue to move higher. Lastly, high valuations in the U.S. leave little room for error.
Blanchard: Do you see risks for expanding military conflict over the next several years?
Peter: We do hope that the Russia/Ukraine war ends as well as the Israel/Hamas war, which could mean a potential downshift in active military conflicts. That said, Iran will remain a threat. And, we’ll be watching China and Taiwan closely.
Blanchard: What are your thoughts on gold’s role in a portfolio today?
Peter: Gold is an important investment asset to own because it’s a form of money. And notably, investors and foreign central banks around the world today want to own less dollars.
Blanchard: How might President Trump’s administration impact the price of gold?
Peter: They are discussing a possible revaluation from how the government currently marks gold reserves to the market price. The current government market value stands at $42, which is significantly lower than the market value of an ounce of gold around $2,926. This action could create a floor under the price of gold at whatever price the Trump Administration chooses to mark our nation’s gold reserves at.
Blanchard: How will the growing consumer demand for gold in India and China impact global gold prices?
Peter: The evidence of the impact is obvious with gold rallying in the face of higher interest rates and the U.S. dollars.
Blanchard: How is the ongoing central bank buying trend, particularly from developing countries, influencing gold prices?
Peter: Central banks should remain persistent gold buyers as they choose to reduce the percentage of their assets in U.S. dollars.
Blanchard: We just saw U.S. CPI jump higher to a 3.0% annual rate. Is gold an effective hedge against inflation?
Peter: Yes. Gold has maintained people’s purchasing power over the history of time much better than fiat currencies have.
Blanchard: How might the U.S. fiscal deficit and growing national debt influence gold prices in 2025?
Peter: Excessive U.S. debts and deficits have definitely caught the attention of the rest of the world. This is one reason why foreigners want to own less U.S. Treasuries and more gold.
Blanchard: What is your outlook for the U.S. economy this year and what could it mean for gold?
Peter: Currently, the U.S. economic outlook is mixed and uneven. There are three main factors powering the economic growth that we have seen. The first driver is high income spending, the second is artificial intelligence spending and thirdly, anything related to government spending. Notably, everything else has been weaker. Gold performs well in the stagflationary environment that we seem to be mired in.
Blanchard: After making 41 new record closing highs in 2024, gold has continued to set new records in early 2025. What does this trend suggest for gold in 2025?
Peter: In the short-term, gold is likely getting overbought. But I’m still positive on the outlook for the price of gold this year.
Blanchard: What are some of the factors that could push gold higher this year?
Peter: A continuation of current trends will continue to drive gold.
Blanchard: How do you see gold performing relative to other precious metals like silver and platinum this year?
Peter: Silver and platinum could catch up in performance.
Blanchard: Is now a good time to buy gold?
Peter: Yes.
Blanchard: If American investors don’t currently have an allocation to gold right now, what is your advice for them?
Peter: Get some.
If you’d like to discuss the content of this report with a Blanchard senior portfolio manager please give us a call today.
Want to read more? Subscribe to the Blanchard Newsletter and get our tales from the vault, our favorite stories from around the world, and the latest tangible assets news delivered to your inbox weekly.
The post The Full Report: Blanchard’s Exclusive Interview with Peter Boockvar appeared first on Blanchard and Company.
Read more