Most law graduates share a capacity to argue two-sides of any case, regardless of their own primary conviction. When it comes to gold, my verdict as to its ultimate price direction (upwards) and its historical role (wealth preservation) have never wavered.
Inflation adjusted gold and silver prices are far below their real all-time high. This is even true when using the artificial and politicized CPI data of the US Government’s Bureau of Labor Statistics. Even a believer in the official CPI data must question why gold and silver prices have not kept pace with officially published US Government inflation statistics.
A rising gold price reflects, above all other things, a loss of trust in the value of fiat currencies. Whatever; the fact is that gold tends to sustain its value over time. National currencies, eroded by inflation and political manipulation, do not.
Research reveals that European central banks have prepared a new international gold standard. Since the 1970s, policies that paved the way for an equitable and durable monetary system have gradually been implemented.
Gold’s rally has been nothing short of historic, but 2020’s rush is still far from over, according to the investors who bought into it and the analysts being forced to continuously change their price targets.
For thousands of years gold is the ultimate store of value. Currently, gold is undervalued as there are massive bubbles in asset markets and central banks continue to print money, which supports these bubbles. This is an unsustainable situation; and when the bubbles burst the gold price will rise.
Covid-19 is accelerating many trends that were already in existence. The rising gold price is one such trend. These seven charts, says Dominic Frisby, reveal why gold could soon “go bananas”.
The price of gold peaked at $1,900 an ounce in September 2011. Nine years and many radical monetary-policy experiments later, it trades at $1,702. That it ought to move higher, and will move higher, is the theme of this analysis.
Retrofitting Kirkland Lake Gold’s 86 year old Macassa mine.
*Members of NPR’s team were responsible for introducing battery mining vehicles to Macassa in 2012 and they continue to use them.