For many gold isn't an investment. For others it's a commodity they love to hate. Another term that should come to mind here is risk management.Still another is gold represents one of the worst nightmares of the fiat money crowd.
There are several things that could brighten the yellow metal's barbaric-investment-non-yielding-risk management luster. Inflation, first off. We think it could surprise more than many think. Central banks have been buying and they've also been bringing it home, a kind of of bullion twist on a bird in hand is worth more than two in the bush. Miners have been stung by lower prices. Once burned recalls more discipline to implement twice shy. And then there's always the risk of political disruptions. Uncertainty these days looks to be about as far away as the next corner. The shorts get squeezed. Still another is real wealth preservation. It's one thing to make it, another to hold on to it. And last but hardly last in that sense is supply-demand. Some capacity has gone out of business.
Confidence should also come to mind. Central bank buying. Is that a sign of lack of confidence in their fiat money antics?
There are several things that could brighten the yellow metal's barbaric-investment-non-yielding-risk management luster. Inflation, first off. We think it could surprise more than many think. Central banks have been buying and they've also been bringing it home, a kind of of bullion twist on a bird in hand is worth more than two in the bush. Miners have been stung by lower prices. Once burned recalls more discipline to implement twice shy. And then there's always the risk of political disruptions. Uncertainty these days looks to be about as far away as the next corner. The shorts get squeezed. Still another is real wealth preservation. It's one thing to make it, another to hold on to it. And last but hardly last in that sense is supply-demand. Some capacity has gone out of business.
Confidence should also come to mind. Central bank buying. Is that a sign of lack of confidence in their fiat money antics?
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