Mined gold production is failing to keep pace with demand, contributing to a structural deficit that is supported by high consumer demand, central bank buying and dwindling reserves.
There’s an incredibly high probability the Strait remains closed longer, putting upward pressure on the oil market, increasing probability of downside pressure for gold and silver prices.
What we are witnessing, then, is not the absence of a shock, but its delay.
And delays, in systems of this complexity, rarely make the eventual adjustment easier.
Unfortunately, since governments don’t produce, the only way they can survive (barring conquering and looting a foreign country) is to tax, borrow, and inflate their fiat currencies.
Maybe trying to time your investment decisions right now isn’t the most sensible move. Instead of asking when to buy, it asks why you’re buying in the first place.
Maharrey argued that silver had been undervalued for years, particularly when compared to gold. He pointed to the historically wide gold-to-silver ratio as evidence.
