If gold sets a new record, new investors will join the bulls’ party, strengthening the positive momentum. What is important, however, is that… by Arkadiusz Sieron of Sunshine Profits The […]
The post Gold Rallies Together With U.S. Covid-19 Cases appeared first on Silver Doctors.
This crisis holds the promise to discredit mainstream economics and fiat money… by Mark Thornton via Mises Q: We’re in a very odd situation right now in terms of evaluating the […]
The post Unlimited Government: Central Banks And Federal Spending During The Corona Crisis appeared first on Silver Doctors.
The gold and silver markets have become less efficient… by Keith Weiner of Monetary-Metals One of our colleagues recently wrote an open letter to Ted Butler. The point was that Monetary Metals […]
The post In Defense Of The Gold & Silver Market Makers: Dear Bullion Banks, Please Come Back! appeared first on Silver Doctors.
This real estate crash will be worse than the previous crisis… by Financial Argument via Financial Argument All signs show me that the housing market crash is on the horizon. […]
The post The Looming Housing Market Crash 2020: Everything Will End With a Bang appeared first on Silver Doctors.
WP/James Burton/7-9-2020
“Gold, in the end, is the sort of millennia proven way to hedge against some of this new math – the financial engineering, money printing and assault on fiat currencies – and a zero-rate environment makes that easier. Gold has always competed with other yield-producing instruments and assets – and now there isn’t much competition because you’re looking at negative real yields, and even negative nominal yields, around the world.”
USAGOLD note: Many professional money managers see gold as a hedge against the excesses of financial engineering. Horizon ETF’s Hans Albrecht (quoted above) says its the difference between the ‘old math’ and the ‘new math’ and that you cannot print the ‘old math’, i.e. gold.
Image courtesy of Gold-Eagle
MarketWatch/William Watts/7-11-2020
“Chalk it up, in part, to opportunity costs. Efforts by global central banks to push down interest rates, which have fallen into negative territory in real, or inflation-adjusted terms, in the U.S. and are outright negative in many parts of the world, mean that investors who hold gold aren’t missing out on the yield they would earn from holding bonds in more usual circumstances.”
USAGOLD note: The Fed has said it will keep rates near zero to “at least 2022” [CNBC – 6/10/20]. If that be the case, the situation described will be a primary influence for years to come. Visual Capitalist finds that 25% of bonds globally bear a negative rate of return – a partial explanation for gold’s outstanding performance over the past few years in most of the world’s currencies.
Chart courtesy of Visual Capitalist • • • Click to enlarge
