Jim Rickards: Gold Price Could Double Overnight In U.S. Dollar Crisis
October 8th, 2013
Gold Silver Worlds: Before proceeding, please be advised that the statement in the title is not a forecast nor an expectation. The potential for the gold price to double overnight is real and existing, which is not the same as sure.
In a major US dollar devaluation crisis, which would occur if the US would fail to raise the debt ceiling on Thursday October 17th, there should be a significant impact on the gold price. Jim Rickards wrote about this in his book ‘Currency Wars: The Making of the Next Global Crisis’ in which he “envisages a series of ‘black swan’ events that trigger a loss of confidence in the US dollar precipitating a rush to get out of the greenback.”
In such a scenario, the market would question the Fed’s staying power, which is the most fundamental aspect of the current monetary system. A dollar collapse would ensue and gold could double in price overnight.