JP Morgan, "Buy More Gold"

6.15.23 - JP Morgan, "Buy More Gold"

Gold last traded at $1,957 an ounce. Silver at $23.88 an ounce.

JPMorgan Says Cut Equities and Buy More Gold -Yahoo!Finance

The US debt ceiling scare, rising recession risks and Federal Reserve hawks are just a handful of reasons why JPMorgan Chase is advising investors to cut exposure to stocks and hold more gold and cash.

With the macro environment taking on more and more risk, JPMorgan strategists are trimming exposure to US equities and increasing its cash holdings by 2%. The multinational bank is also shifting away from energy and moving full steam ahead towards gold.

JPMorgan's chief global markets strategist Marko Kolanovic said that the risk-reward for equities is poor due to a number of factors including elevated recession risk, stretched valuations, high interest rates and tightening liquidity and pointed to gold's safe-haven properties as a hedge against these risks.

Of course, JPMorgan isn't the only bank that's bullish on gold. According to a new survey from the World Gold Council, up to 24% of central banks were looking to raise gold holdings this year.