Tuesday, June 3, 2014

Physical Gold Will Win the Day

I imagine that people in the area – in countries like Romania or Bulgaria, or in the Ukraine itself – would be thinking about putting some of their money in gold right now. Obviously it does bring people into the gold market.

I prefer not to fall back on these sorts of possibilities as reasons to own gold. These are ‘black swans’ for gold. I prefer to focus on the physical shortage argument for owning gold, because I believe the case there is black and white. The means and motive for suppressing the price of gold are well-known. And the physical will win the day.

Now, gold will benefit from black swans – a war, governments going broke or the recession getting worse. These could happen, but things are changing in the precious metals markets regardless of these events.

- Source, Eric Sprott