Gublo
Small/Mid-Cap Trader, Multibagger/Penny Stocks, Earnings Analysis & Signals
Gold and cash are king because a massive recession is coming sooner than most people think, with a major stock market crash on the horizon. Europe will suffer most, due to a lack of natural resources, a productivity crisis and an influx of migrants. 2027-2028 will bring a global reset before a major recovery. x.comÂ
Government will never stop printing money, which should make bitcoin, gold and land do well for two decades. x.comÂ
Gold can go much higher over time, possibly to $10,000 eventually, because currency debasement is real, governments are not becoming fiscally disciplined and debt is not disappearing. The recent quiet after a 15-20% pullback changed only the price, not the fundamentals. Still, gold produces nothing and can do little for years after speculative runs, so it may protect wealth while great businesses compound it, which makes productive assets the preferred vehicle. x.comÂ
Gold will see a diamond-like price decline if lab-grown gold takes hold. The quoted post says lab-grown diamonds halved diamond prices since 2016; gold is currently the largest asset class on Earth, so its money moving into Bitcoin could be consequential. x.comÂ
Gold is set to take off as energy-driven stagflation traps the Fed and negative real rates favor it. Today's dovish hold was likely its last chance to hike: once the AI bubble bursts, the Fed loses that option, while current debt-to-GDP rules out Volcker-style hikes without fiscal insolvency. Per Macrotrends' chart, gold rose eightfold from its 1976 low to its 1980 high, equivalent to $32,000 gold over five years in today's terms. x.com x.com x.comÂ
Gold should benefit because the US Treasury and the Fed will do whatever it takes to bring long-term bond yields under control and save confidence in the dollar. That means de facto money printing through new short-term debt, swap lines to governments hurt by the Iran war and buying foreign currencies so holders don't sell US debt. These actions are inflationary, making crypto and gold the assets to own. Stocks can keep rising for a while but may not stay the fastest runner. x.comÂ
There is no reason to hold gold. x.comÂ
Gold bottoms before other assets because gold investors anticipate another bailout and inevitable money printing, as in 2008. x.comÂ
Gold avoids the rug pulls that have cost bitcoin its narrative. With bitcoin below $70,000 for the first time since April 7, per @KobeissiLetter, people are tired of the rug pulls, and gold does not have that problem. x.comÂ
Gold is hard to hold at a 0% yield while interest rates keep rising. @Mr_Derivatives notes gold's 3.93% drop at the close was the fifth-worst drawdown of the year, driven by rates. x.comÂ
Gold and silver are worth owning because paper claims now exceed physical metal by a breathtaking amount. @BullionNation adds that the US Treasury plans to buy long-term Treasuries private investors no longer want, to keep yields from rising, with the money ultimately created by the Fed and inflation set to soar. x.comÂ