The most likely scenario for 2021 is one where gold continues to offer a meaningful and necessary hedge, along with the high probability of yet another set of record-high prices.
Whether it’s Modern Monetary Theory as a whole, or any of the plethora of programmes that ride on its coattails, such as the Green New Deal, quantitative easing, or the THRIVE agenda, around every corner there are new efforts that I regard as “Voodoo Economics.”
Given the massive erosion in our monetary and fiscal state, we must consider the possibility that price inflation might not just be coming, but could kick in suddenly and rise rapidly.
Savvy investors continue to regard gold and silver as shields to protect their capital and diversify their portfolios.
Late Saturday morning, several news outlets called Joe Biden elected as President. Pennsylvania’s 20 electoral votes went to former Vice President Joe Biden
Investors continue taking steps to ensure that their portfolios remain diversified against the current uncertainties, using physical precious metals for that very purpose.
Market volatility should be expected to remain at elevated levels as US politics shift into full madness mode ahead of the upcoming Presidential elections in November.
As we move into the second half of 2020, gold is increasingly likely to serve as an effective and necessary hedge, particularly in light of the Fed’s dovish stance, ongoing geopolitical conflicts, and the risks associated with the recession, stock market volatility, and US election.
The escalating tensions have many market analysts worried that the trade war between the U.S. and China which began before the outbreak could escalate into a full-scale and global event.
We can actively choose solutions that will help us weather the pandemic and its fallout, as well as prepare us for its ending, whenever that may be and however it may look.