More and more Americans are realizing that financial markets may not be as stable as the government has made them out to be. And when people lose confidence in traditional investment vehicles like stocks and bonds, capital flees to the historical asset of last resort: gold.
When people are scared about the economy and financial markets, they rush to gold. Boy, were they worried in recent months.
U.S. demand for gold bars and coins surged 207% during the third quarter, the World Gold Council said on Thursday.
The skyrocketing demand signaled a level of interest in gold investment “not seen since the global financial crisis,” the group said.
The U.S. Mint backs up that assessment. It said gold Eagle coin sales surged to nearly 400,000 ounces last quarter, the highest level in more than five years.
In August Money Metals Exchange, one of the largest gold and silver bullion dealers in the country, warned demand was so significant that the whole supply chain could be cleaned out as falling prices led to scores of mining companies either cutting costs or ceasing operations altogether. Money Metals reported a 365% increase in first-time customers during the height of financial instability earlier this year.
Even some of the world’s most well known investors like George Soros and Carl Icahn have been rushing into the gold sector at full steam.
What’s most notable about this year’s panic buying is that the official market prices for gold and its counterpart silver have actually fallen. According to Keith Neumeyer, the CEO of silver producer First Majestic Silver and Chairman of precious metals holding company First Mining Finance, the entire paper market is being manipulated by a small concentration of players who have been suppressing the price on a global scale. In an open letter to the Commodities Futures Trading Commission in June Neumeyer warned that real producers and consumers were not being represented by the prices reflected on exchanges.
The opposing view, according to mainstream financial pundits, is that gold prices have fallen because the economy is recovering:
The problem for gold bugs is that the U.S. economy looks like it’s been able to mostly weather the global storm. September was a blockbuster month for job growth, with 271,000 jobs being added.
A recent look at corporate earnings from mega retailers like Walmart and Nordstrom’s, however, suggests the economy has done anything but weather the financial storm that started in 2008. Moreover, the statistics cited by CNN fail to mention the jobs being created are low-wage. Couple that with the fact that consumers are rapidly tapping out their credit availability and we could well be on the cusp of another market collapse on the order of 2008 or worse.
And as CNN notes, that is exactly the kind of environment that bodes well for precious metals:
“For gold demand to keep rising, we’re going to need to have pretty violent markets,” Courtney said.
If you are one who believes that financial markets are stable and the economy has recovered, then gold should continue to lose value.
But in the off-chance that the official statistics are wrong, we can fully expect a massive inflow of investment into precious metals as market turmoil takes hold.
Time and again we have seen what happens during market violence and volatility. Investors shun traditional investment for physical assets, namely gold and silver, because the price has never gone to zero. Well known forecaster Gerald Celente explains the trend:
We’re forecasting a rapid rise in gold prices as speculators and survivors place their bets on safe haven assets… whether it’s gold or silver.
…
What we’re saying is… it’s going to go beyond the level it hit at the high in 2011 and start pumping way above $2,000 an ounce.
If markets do collapse again we can fully expect that Americans and global investors who lose confidence in their government’s ability to manage the crisis will swarm into gold just as they have done following similar panics over the last several decades.
Also Read:
A Step-By-Step Guide To Prepare For Economic Collapse
Global Trend Forecaster Gerald Celente On $20,000 Gold: “Here’s What We’re Forecasting…”
Shock Report: China Dumps Half a Trillion Dollars: “Something Is Very, Very Wrong”
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No wonder PM’s are selling as fast as shotguns in Germany. We’re in the process of buying a 10 acre hobby farm out in the boonies on the Fl. side of the Fl./GA. line.
We will be reinforcing the property HEAVYLY!
Cool beans, 10 acres is more than enough to run a market garden, i do a decent living on 8 and only cultivate a small fraction of it. Read Elliot Colemans “New Organic Grower” you will be glad you do, a wealth of info and has been spot on even for me way out here in the islands
LOL… This post is a cheap sales pitch Mac!!!
Your a bonehead,
No sales pitch, just passing useful info along,
Unlike yourself and your non contribution
But then again what would we expect from a troll
You want info – here it is ….
http://www.cosaction.com
cat got your tongue?
heads up everyone!!!terrist attacks in paris…so far over 30 dead…i suggest you keep yer heads low and turn on the news.
what these muslims are trying to say, is”as long as you dumbfuck christians (and jews) don’t allow your citizens to DEFEND themselves with GUNS, we are going to destroy you!” how fucking STUPID the world is to allow these politicians all over the world to TAKE YOUR GUNS!….we here in america have slowly let the politicians to take away our guns, and then we ADVERTISE the no guns allowed zones….as we allow HUNDREDS OF THOUSANDS of muslims into our counties…probably MILLIONS!…imagine if a few citizens had been ARMED……the nuts truly HAVE taken over the asylum !!!
Time to start eradicating these POS assholes. Paris seems to get more than their share of muzzy attacks, not sure whats up with that.
Because Paris is a gun-free “safety” zone. Libturds made sure of that, that is, safety for their muzzy friends.
France has the largest percentage of muslimes in the western world. They surpassed 10% of their population with muslimes years ago and keep increasing the number of muslimes into their country. France is all but lost now as is Sweden and soon Germany and then the rest of Europe.
WW3 is coming so hold onto your hats.
How do you get around the insurance costs?
Most my quotes come in at $1200 a month.
What insurance????
I had liability, was only so i could do business with Whole foods, but when i decided to down size to reduce my income i ditched the insurance. Its not a requirement to carry it, auto, yes, but for 3 farm vehicles it only costs about 1200/yr+/-
Doesnt matter anyway, with stuff like the FSMA etc coming online, the more they want to control the less i will do, i dont care if im totally broke, ill be damned if im going to give them shit!
Hopefully you never have to worry about rising waters.
If there is no high ground, don’t be caught off guard without a boat/inflatable/flat bottom, cause the New Madrid blowing could change the landscape for millions.
Just sayin’, have a back up.
Can you imagine what the price will be like when the paper Gold scam blows up?
Imagine what the price of gold will be when the paper gold scam blows up!
Whats the latest statistic for paper to physical? Last i payed attention was something like 8 ozs paper for every oz phys
Comex has one oz of gold for every 300 oz of paper. How’s that gonna turn out.
We may never live to see the collapse of the paper markets, everybody knows it’s a rigged game so who’s gonna call the foul? I’m not holding my breath on that 200.00/oz silver they’ve been promising for the last 8 years.
Hey Man, you got GOLD, NO gold, YOU got Silver, NO Silver, the only thing I have is LEAD!!!!
YOU want some?
I like the idea of enough gold to pay my taxes for a year. When the local gov isn’t getting tax money from anyone…. they will take gold, and I won’t be seeing the sherif to toss me off my property.
Enough gold to bribe some remote border guards might be nice as well.
Read you comment & someone sneezed so you must be right in a short time to become. real..,..,..,.,.,.,.,.,.,.,.
Interesting point.
Gold is at $1000+ per oz.
Theorictally, by paper, should be 300k per oz.
Yes, I know it is a scam.
What does everyone think the top bubble value in FRNs will be, maybe decades from now???
Be well all…
eppe,
I don’t think FRNs will be here decades from now. chinese manufacturers are so desperate for cash they are dismantling their inventory to sell the components for scrap at a loss. Premiums are jumping on silver again, just as they had normalized after being outrageously high. The debt clock magically finally moved after they signed that bullshit unlimited spending bill, and I laugh when people say “oh my got look how much it jumped in a day!” Bull shit. they just didnt let the clock move until the deal was signed. I’m still prepping and stacking, waiting for the other shoe to drop. I just keep thinking somebody is going to take the traitor out. I’m surprised hes made it this long.
Amen NoPitty, in time everything will be digital.
Scary thought.
Going Galt is hard to do sometimes.
Bless all here…
I keep an eye out for low-premium Ag and recently found a site called silver.com which offers bars as low as 99c over spot price! To get free shipping, the minimum order is $3K which is pretty hefty; but if you combine your order with a couple other people it should be manageable. Just thought I’d share this….
I use silver.com as well. Never a problem. Great communication and quick delivery. I highly recommend.
Ouch, guess its been a while since i was paying attention.
Thats gonna suck for the dummies trading worthless paper if it crashes.
Personally (im not a finance guy) i feel the dollar will start loosing value because of some event etc, think it is part of the plan though, ALL these countries governments have a hardon to get rid of the shadow economies and trade of goods using cash, it IS the only way they will even come close to gathering enough revenue to keep up the illusion that they are staying afloat, the US is in deep trouble, too many takers and not enough makers, and that includes ALLLLL those gov employees who feel they are oh so important. Its not a wonder the budget is out the window.
More like 270 paper ounces for every 1 oz physical.
Multiple attacks in Paris, France ongoing. pig screwing muzies at work
You guys are such liars. I went to Fidelity and checked the price of gold and it has been steadidly going DOWN since 2010. Don;t believe this crap about “get your gold now before its all gone” look at the yearly price of gold and decide for yourself.
you are such a fucking idiot you should just kill yourself right now
Dude, that’s harsh. OK he’s brain dead, but go kill yourself right now! Where the love?
charlie ~ Instead of picking an arbitrary year (2010) and saying “it has been going steadidly (sp) down” — let’s look at the year the government finally allowed citizens to own it legally again (gee thanks guys): 1974. The price was $35 per ounce.
If you had bought then and simply held on, it would now be worth 3,600% of your purchase price. If you had sold some or all as the price neared $800 back around 1980 and then re-purchased when the price went back down to around $350 or $400 –using a bit of common sense to sell high and buy low– you would have made a huge profit.
It does not take a rocket scientist to buy in stages as the price goes down, and then sell in stages as the price climbs high. You will end up with the amount that you choose to keep for yourself as a “permanent insurance policy” for very little… perhaps at no cost at all. Perhaps at no cost and a profit besides.
Gold proponents are not “liars”. I believe that we take the long view instead of looking at just a small slice of time. Many of us also have read a history book or two, and noted that paper currencies virtually always tank… usually within a 50 to 75 year timespan. The dollar has reigned longer due to the Bretton Woods agreement, but that is unraveling fast as other countries work around the dollar and make private deals with their own currencies.
Interesting to note that from the last circulated coin containing any precious metal (the 1969 half-dollar) until the warning tremor of 2008 was 49 years.
And from 1933 (EO6102, making gold illegal for citizens to own) to 2008 was exactly 75 years.
Many of us feel that the paper dollar is on its last legs. If you do not, feel free to keep all of your resources in dollar-denominated assets. But here’s the thing: if we are wrong, we may take somewhat of a loss on whatever shiny metals we have tucked away… but we will still have any number of things (IRA, home, machinery, whatever) valued in dollars. We won’t starve.
But what if YOU are wrong?
more info on 9-11 continuing to come out in dribs and drabs
‘The Attacks Will Be Spectacular’
http://www.politico.com/magazine/story/2015/11/cia-directors-documentary-911-bush-213353
” They don’t know what they are doing.”!?! They know EXACTLY what they are doing- they always have! They also know- that their end is near, (and there is nothing more dangerous than a cornered rat- another major war, will take the heat off them…….for a short time.
What do you bet that the lying, treasonous, criminals & financial terrorists in our govt are already scheming on how to take your guns first and then like the dictator of Libya after he’s been disarmed they then steal your gold??
Oh that’s right…good ol Uncle Sam would never do that what with over 8000 tonnes of gold in the vaults at Ft Knox. With all that gold already safely stashed why would he want your few measly ounces??
Looks like these Muslim extremists are going off again. Why would any country accept these refugees from Syria not REALLY knowing what they may be up to ? These people want to use their “religion” to massacre innocent people ? Donald Trump is right. We should bomb the SHI# out of them. People in civilized western countries need to wake up as smell the roses. We are at serious risk and nobody has ant real solutions. We need to stop all immigration to the U.S. both LEGAL and illegal.
Forget the paper price it’s supply and demand on Ebay that sets the price for physical and the last time i looked it was still going down.
Sure if we peagged all the money in the world back to Gold then gold would cost $0.5bn a KG but thats never going to happen people.
I stack myself and i have learned not to buy whilst you are seeing adverts on the TV offering to sell you Buillion-by-post as they flood the internet with stories of doom.
Has the paper price of silver hit my $12 oz target yet because then i might start looking.