Watching The Gold Market

     Gold is tearing through every threshold anyone has proposed for it.

     Americans smart enough to hold some physical gold should not take this as a reason to sell their holdings. Speaking for myself alone, if I had any unemployed cash just now, I’d be buying. But more to the point, the steady increase in the dollar price of gold doesn’t mean that gold is becoming “more valuable;” it means that the dollar is becoming less so.

     If you’re paid in dollars for your labors, you’ve already felt the bite of inflation. It’s not going to improve in the near term. Indeed, it’s more likely than not that the recent surge of federal spending will boost prices further. Life will get harder.

     If your savings are in dollars – actual Federal Reserve Notes or dollar-denominated bank deposits – I hope your pantry is full and you have enough ammunition. You might want to take inventory and shore up any weak areas before things go further. It’s time to “think austerity.”

     If your savings are in equities – stocks, bonds, or mutual fund shares – stay in touch with your broker or advisor. Make sure he knows that you’re worried. If he’s at all competent, he’s worried too, though he might not admit it; investor confidence is something he’s professionally inclined to encourage.

     Pray for a Trump / Vance victory on November 5.

1 comment

    • foot in the forest on October 18, 2024 at 2:43 PM

    GET OUT OF FIAT

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