There is one dormant clause that could see the Aussie government walk away with more gold than any other country in the world.
Gold is hard to find and hard to bring up out of the earth. As a result, its quantity is always limited — by nature herself.
When this trigger is pulled and the gold panic starts, it’ll run out of control very quickly. Gold prices will soar to heights no one thought possible just a short time ago.
Since 2000, gold has greatly outperformed every other asset you can think of. So in that sense, gold performs an important insurance function.
Jim Rickards plays gold basher advocate and tries to think of some ways to make a case against gold. Enjoy…
Most don’t know John Paulson made $5 billion more betting on gold in 2010 — and now he’s got another $1.2 billion gold bet in place.
Right now, gold is behaving more like money than a commodity or investment. It is competing with central bank fiat money for asset allocations by global investors.
Few others in the world know gold like economist, intelligence expert and author Jim Rickards.
In today’s market update Kris looks at the gold price and Jim Rickards’ prediction that gold will climb to US$10,000 per ounce…
Gold has value because it requires effort to produce it. Gold has value because it isn’t replicable. A central bank can’t create new gold on demand.