Another Big Reason To Own Gold Now!
Some say $2000 Gold! Some say $3000, $4000. Arguments are being made for gold prices of $8000 or more. And the reasons for higher gold prices cited, number as many as the predictions themselves.
Gold is a hedge against inflation and make no mistake, when you print a few trillion extra dollars for bailouts and stimulus, inflation is coming.
Printing more dollars out of thin air sends the value of existing dollars lower. Lower dollar means it takes more dollars to buy the same amount of gold - or anything for that matter. It's a simple fact, Gold Prices Rise!
Right now, interest rates have one way to go - UP! And just like in the 70s, the last time interest rates started moving up off of similar lows, gold prices proceeded to rise over 2200%.
Agreed, these are all good reasons to own gold, and believe me rising gold demand is a great indicator of that fact. But there's another huge reason to own gold now. . .
America Has a Dirty Little Debt Secret!
By the end of this year, the U.S. has to refinance some $3.5 trillion dollars worth of debt. With interest in dollar denominated assets diminishing around the world, as evidenced by reports that central banks are now trading dollar backed assets for gold, this could leave our government and the Fed with only one option . . . PRINT MORE DOLLARS! If there was ever a reason gold prices could climb 2200% off their recent lows, this may be it.