Analyst: Gold may see a boost in September, jobs report in focus - Video

Frank Holmes, CEO at U.S. Global Investors, gives his analysis on where gold is now and what is ahead for it.

For him, gold is historically up during the football season. September is an important month to look at, with U.S. possible rate increase in focus. But Holmes does not think it's going to happen.

The host touches a question of gold production and its peak, and Holmes says that with the supply restrictions taking place in the capital markets, prices rise. The money supply with the QE currently taking place in different countries only means they print money faster than gold is produced.

We could see gold drop 18% over the next 5 years, Holmes says.

Commenting on the announcement of billionaire investor Carl Icahn’s 8.5% stake in mining giant Freeport-McMoRan, the analyst says more ‘activist investing’ may take place in the sector.