Original title: Credit Suisse expects gold to continue to “perform well” in 2020. Among mining stocks, it is optimistic about companies that can generate free cash flow and return capital to shareholders Source: Huitong.com

Credit Suisse expects gold to continue to “perform well” in 2020. Among mining stocks, it is optimistic about companies that can generate free cash flow and return capital to shareholders;

① Credit Suisse analysts expect the average price of gold this year to be around 1,540 US dollars, reach a peak of 1,560 US dollars in the first quarter, then gradually fall back to 1,525 US dollars before the end of the year;

② Although investors are optimistic about global stock markets recently, Credit Suisse said that due to ongoing concerns about trade frictions, Brexit uncertainty, and global economic slowdown or recession, it is expected that “risk aversion” will mainly occur;

③ This uncertainty is causing most central banks around the world to cut interest rates, which supports the price of gold. The Federal Reserve said interest rate cuts will be suspended, but if economic fundamentals weaken, this position may change rapidly, as we saw last year;

④ However, analysts also said that if central banks around the world suspend interest rate cuts and speculative bullish positions at historically high levels begin to reverse, the strengthening of gold prices will be at risk