I wondered how gold price was skyrocketing so fast with the economy stalling, dangerous to buy when it’s moving up so fast.
Gold is soaring because there is no other place to put one’s money. It has inherent intrinsic value that is pegged to its actual worth along with supply and demand. When paper currencies fail—and they will if we keep going with Onada—it will once again be used as legal tender—along with other precious metals. Manufacturing, and its consumption of precious metals, is a marginal component in determining their value right now.
As I said, where else can one invest their money today with a reasonalble expectation of return on that investment? The stock market has been a joke for years. The economy is in the tank and going down for the third time. Gov’t bonds, treasuries? Governments are broke. Assuming The Usurping Marxist Onada is kicked out of office next year, and his Marxist economic policies are scuttled, real estate is another good place to put your money. There is a finite supply of habitable real estate.
Whatever is happening to gold today is being manipulated. This dip will prove to be nothing more than a minor ripple. Reason: None of the things that csused it to go up in the first place have been fixed.