|

The Gold and Silver ship will set sail

Over the last couple of months, gold has scaled record highs, peaking at over $2,430 an ounce before correcting and settling in the $2,300 range.

That's a healthy gain. But you could argue that gold remains significantly underpriced given the inflation we've experienced that continues to rapidly devalue the dollar.

That leaves many people wondering when gold is really going to break out.

It's impossible to predict the timing of such things, but as Metals Specialist Garth Patchen put it, "It will leave the port-of-call at some point."

"And like Noah's Ark of old, those who miss the boat will face a catastrophe.

The thing is there are only so many seats on board, and prices are relatively cheap at present. 

Do you really want to wait until the final hour?

Patchen paints a vivid word picture.

Imagine the masses trying to clamor aboard at the last minute, in the last hours before the doors close.

Unfortunately, their flimsy financial "life preservers" (fiat dollar-denominated assets) won't be adequate. They're not going to float in the tempest to come.

Imagine trying to bail out of stocks when they're dropping like a rock in an effort to salvage something close to your original investment (principal).

Imagine trying to get your cash out of the bank when "capital controls" are instituted, and you can only pull out $3,000 per day or less -- or none.

Imagine trying to purchase physical gold and silver at much, much higher prices.

Imagine the FOMO (Fear of Missing Out).

Imagine the fearful, stressful rush to find safety in the face of an oncoming disaster.

Imagine if you can, how sweet the sleep is of those who have prepared ahead of time for any eventuality.

And the worst scenario?

Imagine missing the boat altogether.


To receive free commentary and analysis on the gold and silver markets, click here to be added to the Money Metals news service.

Author

Mike Maharrey

Mike Maharrey

Money Metals Exchange

Mike Maharrey is a journalist and market analyst for MoneyMetals.com with over a decade of experience in precious metals. He holds a BS in accounting from the University of Kentucky and a BA in journalism from the University of South Florida.

More from Mike Maharrey
Share:

Editor's Picks

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans. 

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.