Gold Continues to Push Higher as Investors Look for Safety
With markets still far below their all-time highs, investors are fleeing to the safety of gold and silver like they haven’t in close to a decade. And that has pushed gold prices to levels that haven’t been seen in years. At this rate, within a month gold could be within spitting distance of its all-time highs.
Gold finished the day yesterday comfortably over $1,700 an ounce, although it reached nearly $1,800 an ounce in intraday trading. And those prices came despite stock markets making nice gains, with the Dow finishing back close to 24,000 points.
Many investors are taking advantage of the stock market mini-recovery to take their gains where they can, recoup some of their losses, and move their portfolio holdings into gold and silver. With much of the country still likely weeks away from fully reopening, we haven’t even seen the beginning of the economic collapse that will consume the country.
Too many investors still think they can make gains under these conditions, buying low and selling high. And while that may work in the short term, that only really works if they sell. Those who buy now and don’t sell will likely end up riding markets down to lows that haven’t been seen since the 2008 financial crisis.
That’s why it’s more important than ever for investors to protect their assets while they still can. The price of gold is telling us something, and it’s telling us something that’s far more important than what stock markets are telling us. It’s telling us that investors and financial markets are shaken to their core, fundamentally frightened of what the future holds.
They know that the worst part of the coming financial collapse is still ahead of us, and they don’t know how bad it’s going to be. Is it going to be like 2008, when markets collapsed “only” 50%, or will it be like the Great Depression when markets lost over 80%? Just because the Great Depression happened nearly a century ago doesn’t mean that we can’t experience another once-a-century event today, and this could be it. Certainly the way governments are reacting to the coronavirus has millions of Americans believing that there’s an existential threat to our way of life.
With gold continuing to rise, investors who got out of stocks and into gold in the past few years are counting their blessings. But for those who are fearful about how their stocks will perform in the future, it’s not too late to invest in gold. Yes, gold may have made some great gains already this year, but it still has a long way to run. Remember, we haven’t seen the worst of the coming crisis yet, which means that gold is still set for major gains. So if you haven’t already protected your retirement savings, think about investing in gold today in order to safeguard your financial future.