Stephanie Pomboy warned about the last opportunity to buy physical gold and James Turk discusses gold, silver and the coming great wealth transfer.
Last Opportunity To Buy Gold
March 7 (King World News) – Steph Pomboy: Remember: We were headed into recession BEFORE Russia’s invasion of the Ukraine sent the price of everything we can’t live without soaring skyward. GDP growth (especially the consumer) was crumbling in the absence of stimulus. The Yield Curve, Sentiment, Negative Real Wages…all signaling.
THAT will have been the catalyst for recession. Higher oil is just compounding. This will be important to remember when the inevitable positive headline on the war front comes and gold and oil get crushed and risk assets rip. If you haven’t rotated from paper to rock (gold) by then…that will be you opportunity…
Billionaire and mining legend Ross Beaty, Chairman of Pan American Silver, just spoke about what he expects to see in the gold and silver markets and also shared one of his top stock picks in the mining sector CLICK HERE OR ON THE IMAGE BELOW TO HEAR BEATY’S INTERVIEW.
Gold, Silver And The Great Wealth Transfer
James Turk: What we are seeing in gold and silver, Eric, is the long-awaited break out into new major uptrends. How high these uptrends will reach and when they will end is anybody’s guess.
The important point to realize is that there is an imbalance between asset classes. Financial assets denominated in national currencies – for example, bonds, bank deposits, etc. – are overvalued and tangible assets are undervalued. We’ve seen this imbalance before.
In the 1960s, few were prepared for the destruction of purchasing power in national currencies that was to occur in the 1970s. But tangible assets soared that decade and bond prices and other financial assets crashed as currency inflation robbed creditors of purchasing power.
The stock market in the 1970s traded in a broad range, with most of the major indices showing little or no gain that decade. However, sectors tied to tangible assets – like gold and silver mining shares – soared in the 1970s.
As we all know, the future is unpredictable. Even a couple of months ago, did anyone predict crude oil would touch $120 today?
So investment success does not rely on predictions. It relies on relative valuations of asset classes and following their price trend, accumulating undervalued assets and moving out of those that are overvalued, which is very different from being “overbought”.
Gold and silver may be short-term overbought at the moment, but they remain undervalued. An increasing number of people are recognizing that fact, which explains why both precious metals are being well bid for on their pullbacks. The train is leaving the station, and there are a lot of people on the platform who own little or even zero precious metals, which brings me to the last important point.
The events in the Ukraine are the spark that lit the fuel that central banks have been pouring into the global economy. It was only a matter of time before some spark from somewhere set off a conflagration.
The outcome will likely be a rebalancing of asset classes as occurred in the 1970s. Sometimes history repeats, but I would not be surprised if this time around it takes only months – not a decade – for the rebalancing of asset classes to occur.
ALSO RELEASED: ALERT: Ex-Senior Fed Trader Warns We May See Wild Scramble For Gold CLICK HERE.
ALSO RELEASED: BUCKLE UP: Greyerz – The Dark Years For The World Are Now Starting In Earnest CLICK HERE.
ALSO RELEASED: Michael Oliver – We Are On The Face Of A Move That Is So Dramatic For Gold & Silver That It Erases Any Prior Bull Moves In Terms Of Dynamics And Percentages CLICK HERE.
To listen to Michael Oliver discuss the dramatic upside move in gold and silver and much more CLICK HERE OR ON THE IMAGE BELOW.
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