GOLD and SILVER: Can the Price of Gold Hit and Exceed $ 2000 per ounce: Part Nine:
Dateline: Thursday, August 08, 2019
FNB is a precious metals industry leader. Each weekday, we post information and financial facts (and opinions!) that relate directly to the financial markets and also that have direct impact upon the daily lives of investors.
In our last session, FNB looked into what are some of the relevant component parts that are currently fueling the surge in prices of and for both gold and silver.
In this session, FNB wonders why Hedge Funds began purchasing and holding larger and larger tonnes of gold and silver in 2018 and have continued this investment practice into 2019.
GOLD SURGES in Price and Why?
Market volatility. Some institutional firms focus and base their core business on trading models and look for large levels of daily price volatility.
Market stability: some institutional firms focus and base their core business on long-term investment strategies.
Equity growth: all institutional firms are focused upon the core issue of shareholder protections and continued equity growth for their investors.
Hedge Funds in the last two years are adding gold and silver to their portfolios in large quantities. Why? Why would those who principally manage and invest in equities and/or debt instruments begin to add gold and silver into their investment mix?
The simple answer is market and investment insurance against catastrophic downturns.
The more complex answer is found in the combination of these key elements:
Gold is golden: gold is the key response to governments that operate with large and seemingly endless deficits. How governments large and small justify spending vs. others’ futures is beyond explanation. Hedge Funds see the inherent risk in such irreverent, fiscal behavior
Buy Gold: Hedge funds over the last two years are buying and keeping safe in their storage facilities, physical gold and silver. These Hedge Funds are not hypothocating (generally) these holdings. They are warehousing gold and silver vs. the prospect of financial chaos
Cash is Not King: it’s simply foolish to place money into treasuries or cash right now. Why? Dilution and market saturation. Each and every weekday, central banks are printing more money and dumping these currencies into markets. The net result is a sturdy and quick and constant devaluation
Gold and Silver’s Record: Gold and silver have stood the historical test of market volatility, wars, governments and even time itself. Gold and silver are sturdy assets and have proven their mettle over eons of human history
Gold has merit as a risk reducer. Investors worried about market turmoil and volatility need to consider adding larger portions of physical gold and silver to their portfolios.
FNB strongly urges all savvy and thoughtful investors to ramp up their physical gold coins, bars and bullion holdings. FNB invites all to visit our website:
FNB invites all that live in or near our three physical locations in San Diego, Del Mar and Scottsdale to stop in and visit and meet one-on-one with our Team of precious metals experts.
FNB posits and strongly asserts that capitalism and the capacity to own, manage and profit from the collective of private properties and/or business initiatives is a driving force that America and its leaders simply must protect.
FNB remains diligent and unwavering in the call for common, average American people to seek out the Safe Havens of gold and silver coins, and gold and silver bullion.
FNB, a national precious metals industry leader and reputable gold and silver coin dealer urges investors, bond-holders, speculators and all who manage and/or oversee their family’s financial portfolio begin now migrating larger allocations into the historical safe harbors of: Gold and Silver.
Founder and Owner,
First National Bullion
For direct consultation with a gold and silver expert contact FNB: