Why I Just Bought More Gold Bullion
They’re debasing the currency—and monetary inflation is rising with liquidity
They’re debasing the currency—and monetary inflation is rising with liquidity
The price of gold is up roughly 18% since the start of November, and the recent rally appears to have been triggered by a breakdown in the U.S. dollar
After months of downward pressure, the precious metals sector finally rebounded in November, with gold prices rising by about 7%, and silver prices jumping by nearly 13%.
The Gold/Silver ratio started 2022 trading at roughly 78, but has since rallied all the way up to 93, and the relative strength in the ratio appears to be rooted in silver weakness.
During previous economic contractions, gold has been a relatively safe place to park capital, which is why investors and traders may want to give this niche of the financial markets a closer look in 2022.
“Safe havens” are traditionally defined as niches of the financial markets that retain, or even gain value, during periods of heightened volatility. Recent activity in the cryptocurrency sector suggests it may not be the “safe haven” it once was.
The price of gold recently hit a five-month high and is trading just 9% below its all-time high, setting up the potential for a dramatic finish to the year.
Puts are traditionally more expensive than calls in the options marketplace due to the existence of “skew.”
After a quiet start to the year, the precious metals sector of the financial markets has caught fire in recent weeks, with gold prices poised to capture a fresh all-time high.
Silver volatility exploded in recent days as a newly emboldened army of retail investors and traders targeted the commodity with their collaborative “momentum” approach. The retail narrative driving GameStop (GME) higher last week was certainly riveting, but the fact is, momentum (aka “momo”) investing and trading has been around for many, many years. To wit, … Continued