The Gold Chart That Has Central Banks Extremely Worried
By: Steve St. Angelo, SRSrocco Report
GoldSeek.com
Sunday, 22 May 2016
This gold chart should have Central Banks extremely worried. Why? Because the change in physical gold and Central Bank demand since the first crash of the U.S. and global markets in 2008 is literally off the charts.
I advise precious metals investors not to focus on the short-term gold price movement, rather they should concentrate on the long-term trend changes. This is where the ultimate payoff will be by investing in gold. Now, I say “INVESTING”, in gold because that is what we are doing.
Many analysts such as Jim Rickards don’t believe that gold is an investment. Mr. Rickards looks at gold as money or insurance on the collapse of the U.S. Dollar and fiat monetary system. However, I look at gold as an investment due to the collapse of U.S. and World energy production.
While I have been a broken record on this, many investors still don’t understand what I am trying to get across here. Gold and silver are more than money today because of the 40+ year funneling of investors funds away from REAL ASSETS and into PAPER CLAIMS on future economic activity. Thus, 99% of investors have sent their money into the largest Ponzi Scheme in history.
Jim Rickards fails to understand this principle because he doesn’t’ factor in energy into the equation. I find most precious metals analysts do the same thing as they forecast the future gold price based on how much fiat currency (or money supply) is outstanding.
Folks…. it won’t matter how much money is floating around in the future as energy production plummets. Who cares if there are trillions of M2 or M3 outstanding, when we won’t have the energy to continue running a system that only can function by a growing energy supply. To base the future value of gold on outstanding currency is FOLLY.
Which is precisely why I label gold and silver as INVESTMENTS. Their values will surge as most paper and physical asset values collapse. The revaluation of gold and silver will occur well beyond the collapse of fiat money… they will also rise in value due to the disintegration of most physical and paper assets. This is well beyond the scope of money or insurance.
The Rest…HERE
