BlackRock sees three reasons why investors should consider a tactical allocation to gold

By Neils Christensen

Gold has not been able to hold its gains above $2,000 an ounce; however, the world’s latest asset management firm recommends investors consider a tactical allocation to the precious metal.

In their latest gold market outlook, analysts at BlackRock said that they see potential for gold prices to move higher even after May’s sharp selloff from its near-record highs. The bullish outlook comes as prices struggle at a critical support level. August gold futures last traded at $1,956.40 an ounce, down 1.26% on the day.