Monthly Market Commentary for September 1st, 2022
Energy has been central to many conversations we’ve held in 2022, and for a good reason. Oil and Natural gas prices have fluctuated widely in recent years1 . Additionally, nearly every aspect of the average American’s day touches the energy industry in some form, whether driving a vehicle or simply turning on a light switch. We focus our energy research efforts on understanding some key areas: Global Perspective, Supply and Demand, Production and Consumption, Inflation, and Opportunity. Understanding these dynamics allows some clarity in an otherwise noisy environment.
Monthly Market Commentary for September 1st, 2022
Historically, gold has been prized by investors for its relative stability through tumultuous markets and its resilience, even outperformance, in the face of significant inflationary pressures. Being a tangible commodity in limited supply, the precious metal has intrinsic qualities shared by other real assets that have usually been better able to weather above average inflationary environments. Additionally, gold exhibits low, occasionally negative, correlation to most traditional assets like equity and fixed income, and thus provides a significant degree of diversification when markets experience volatility.