“The way precious metals are now diverging from global stock markets can only mean one thing. We are in the early stages of a fear event. As the fear of insolvent banks and broken government promises grows, people will increasingly move out of paper assets of all types and into physical gold and silver.”
So says James Turk in excerpts from an interview with Eric King of King World News.
Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!), has edited the excerpts below as a teaser to entice you to read the entire interview. This and the previous paragraph must be included in any re-posting to avoid copyright infringement.
Turk goes on to explain, in part, (the entire interview can be read here) that the above mentioned divergence may be because:
- there is a likelihood that more money printing is coming,
- the big money guys, including the central banks buying gold, know that gold is cheap and undervalued by its historical measures and
- more and more people are starting to understand that gold is a safe haven….so the money coming out of the stock market is not only going into German and US government paper; it is also going into gold and silver, which is a trend that will accelerate as the crisis worsens.
Turk goes on to explain that “Importantly, the way gold and silver are now diverging from global stock markets is different from what happened when Lehman Brothers collapsed in 2008 because…. ” (go here to read the interview in its entirety.)
Take Note: If you like what this site has to offer go here to receive Your Daily Intelligence Report with links to the latest articles posted on munKNEE.com. It’s FREE! An easy “unsubscribe” feature is provided should you decide to cancel at any time.
Understanding what we are facing right now is critical to our survival…. [and to do so] we must embrace a global correlation approach to comprehend the true global implication of how capital moves. [Martin Armstrong provides a remarkable explanation of what is going on right now with the U.S. dollar, bond yields and the current price of gold. It would be well worth your time to read and reflect on what he has to say.] Words: 822
Comments I have made that “when this [financial crisis] finally ends the big winners are apt to be the ones who have lost the least purchasing power. Keeping score in nominal dollars is likely to be meaningless. Gold tends to hold its purchasing power regardless of what happens to fiat currency.” have prompted questions about a) how to achieve such purchasing power with physical gold when this stage is reached, b) how to go about buying things with gold coins and c) how gold would be utilized under the assumption that a barter system would develop when dollars become worthless. [Let me explain.] Words: 700
It would seem that there is a considerable lack of understanding about what the term “safe haven” actually means when it comes to gold. Let me explain just what it means – and does not mean. Words: 740
We are in the midst of turbulent times, and it seems inevitable that things can only get worse. Most investors are of the opinion that gold is one of a very few areas of safety…however, when we look at historical charts, it is obvious that gold doesn’t always behave in the way we would expect. [Let me explain.] Words: 541
Do you own enough gold and silver for what lies ahead? If 10% of your total investable assets (i.e., excluding equity in your primary residence) aren’t held in various forms of gold and silver, we…think your portfolio is at risk. Here’s why. Words: 625