Gold and Silver Update: “Have the Courage of Your Convictions and Hold Fast”
February 20th, 2013
The last couple of weeks have seen stock markets bounce around inexplicably and reach new highs, all in the midst of an economy that is, once again, about to buckle.
Likewise, during this time period we’ve seen the price of gold and silver fluctuate significantly, primarily to the downside.
This has left many holders of these metals, as well as potential investors, quite nervous.
Is this the end of gold’s decade-long run?
Despite media claims to the contrary, there is no gold bubble (yet) and this ancient metal is nowhere close to the levels of value it will achieve as the global economic and geo-political situation worsens.
We once opined that the price of gold would do wildly amazing things throughout the course of the various intense crises facing the world, so much so that those who own the metal will hate it so much they’ll want to spit on it. This is why we’ve recommended that those who buy gold as a hedge against the collapse of pretty much the entire world not lose a wink of sleep over short-term price movements.
Those of us who hold physical assets do so not to make money on leveraged trading accounts. We do it to preserve our wealth over the long-term.
Gold is money, regardless of what Chairman Bernanke wants us to believe.
As we move forward we must keep in mind that not everything that’s happening in the ‘free market’ is as free as we may think.