Expect Physical Gold Backing of Currencies Within Next Decade

During a time of currency volatility and returning strength in precious metals, Eric Sprott, Chairman of Sprott Inc. was kind enough to share a few comments.

Regarding currencies, Eric noted that “I’m kind of shocked that the most volatile sector of the financial market right now is the currencies… it really should be bonds or stocks, but it now seems to be currencies.”

Higher risks within global currency markets buttress, “An awesome outlook for gold,”Eric added. “Last year, 84% of the world’s population would have made money owning gold because of various currency moves—even though gold in US dollars was down approximately 1%.”

Commenting on the root cause of growing currency gyrations, Eric noted that, “The whole precept that printing money is good…that somehow zero interest rates and negative interest rates are good, is totally fallacious…It’s so unimaginable and yet somehow the investment public has bought into it…Things are unstable here…So I imagine probably in less than 10 years we will see physical assets backing currency. Of course, the most likely physical asset is gold.”

- Source, Sprott Global