Is gold bottoming?
I honestly don't know. It's impossible to predict where the price of gold (or any other asset) will be tomorrow, the day after, or next week.
What I do know is that gold offers protection against market circumstances that traditional investment portfolios, consisting of equities and bonds, do not.
If you believe inflation risks have increased and that structurally higher inflation is a more likely outcome, owning some gold makes sense.
If you believe that central banks must turn on the money printer at some point to keep interest rates at bay and to prevent countries like the United States, Japan, and France from collapsing under the weight of their debt, owning some gold makes sense.
If you believe geopolitical tensions are here to stay and will likely increase over time, owning some gold makes sense.
If you believe that a growing number of countries, including China, want a financial world less dominated by US Treasuries and the US dollar, owning some gold makes sense.
If you believe in true diversification and include the trinity of sound investing, returns, risk, and diversification, in your investment model, owning some gold makes sense.
If you agree that nearly all investment portfolios around the globe do not yet invest in gold, owning some gold makes sense.
Will that lead to higher prices in the future? Most likely it does. A vast amount of data confirms relationships among inflation and gold, money supply and gold, interest rates and gold, geopolitical uncertainty and gold, and the share of the dollar in global reserves and gold.
Does that mean gold will start rallying again today? I have zero clue, but I do know that I want to hold at least some gold in my portfolio.