By 2025, a massive shortfall will emerge for copper, which is now one of the world’s most critical metal due to its essential role in the green economy.
The Federal Reserve and U.S. Treasury would not have been letting the gold and silver prices rise so sharply over the last few weeks if they still had control over the markets.
The Fed failed so severely that they experienced the first loss in their existence and then panned it off to the US government, as is the option built into their charter for a time such as this.
A critical question is how do we get as much buying power as possible from the beginning of the crisis through to the other side? By investing in specific parts of America.
Market participants in both stocks and gold would likely see any inaction or hesitancy by the Fed regarding interest rate cuts as negative for their investment outcomes and expectations.
It wouldn’t be totally crazy to suggest that the market participants are waking up to the fact that there is some serious misalignment in the global economy. This is resulting in an increased demand for gold.
The founding generation believed in real money - gold and silver. They understood that gold and silver could not be easily manipulated and printed for government purposes like paper and that it would retain its value over time.
Notably, the continuous rally in gold and silver prices amidst economic conditions underscores the resilience and appeal of precious metals as safe-haven assets.
Gold has outperformed gold equities the past three years. Gold mining stocks have performed well following periods they have significantly trailed bullion.
