Saturday
The ‘play’ of the millennium is in motion. Truth be told, it has been in motion for 25 years, but mostly at a pace too slow and spasmodic for people to notice.
Time is the bugbear for most of us. If it is not right here and right now then it is of little interest. Prescience without patience can be painful.
Those who understand the process in motion, and who heed the trend and act on it, will benefit.
The ongoing, terminal decline of fiat currencies is being represented by the measure of value – Gold. It is not the ‘price of Gold’ going up, it is the value of the fiat currencies falling. Thus, obviously, it takes more of them to buy Gold – just as it has taken more of them to buy houses for the past 20 years. (In terms of real money, the price of an average house is the same in Australia in 2024 as it was in 1975.)
Gold will become the ‘go to’ investment – the place to stably store your value – just as it has done over and over during troubled times for thousands of years. In the West, we have only just tippy-toed over the starting line of this trend, though the inevitable outcome has been obvious for over 25 years. The glacial pace will, at some unknown point, become a stampede. All indications are that by the end of 2024 the collapse of fiats will have begun in earnest. N.B. the US$ will be the last to collapse, not the first.
The rise in the fiat price of Gold will see the shares of Gold (and silver) mining companies go through the roof. The last great Gold bull stretched from 1970 to 1980. It will be much faster this time.
Some figures from the last Gold bull market…
In 1975 Lion Mines could be purchased for 7c a share – in 1980 the share price was $380 (x5428)
Wharf Resources traded at 40c in 1975 – by 1980 the price had risen to $560 (x1400).
This coming bull market in the monetary metals will be far stronger than that of ’75 – ’80.
It is important to note that a large percentage of the stocks’ gains will, in fact, simply represent the loss in value of the fiat – i.e., no gain. Make sure that you exit the trades and switch your fiat for physical Gold before the collapse moves into top gear.
However, even if 75% of a 5000% return is simply the fall in the value of fiat, that still leaves a very handy profit – providing that you immediately transfer the profit into physical Gold.
During the period that we have now entered, any other investment is fraught with the potential for total loss – especially real estate, whether residential or commercial. Don’t get caught playing yesterday’s games. This truly is a new era.
The eventual value of your Gold shares will make you wealthy. Don’t try to pick the top. Eventually, even politicians will come to understand the migration of the financial world to Gold. Soon after that, the mines will be nationalized – stolen ‘in the best interests of the nation’. Make a brilliant gain and then sell. Don’t try to hang on till the end.
Mind you, just hanging onto Gold itself will also make you rich. As fiat collapses, so will the value of ALL asset classes. The Gold that you hold will buy more and more as time passes.
Don’t value your Gold in fiat; value your Gold in terms of what it will eventually purchase.
The next few decades will be very tough (to put it mildly). They will also provide the opportunity of the millennium to create serious wealth.
The overall point of all this is that holding Gold and/or silver is just fine on its own, but a great punt could be to set aside a percentage (10%?) of your Gold to buy shares in Gold/silver mining companies.