The holding of the gold price above $1,000 USD per ounce (as I write) is interesting. I say so, because it wasn’t expected to hold (and it still may not). But coupled with other developments, it could also point to a new upswing in the shiny metal.
Most interesting, from a global perspective, is the news that gold ownership is being pushed in China. Various confirmed reports are indicating that the Chinese government via the state media is actively promoting gold and silver ownership by ordinary people. And people are responding.
In fact, any bank in China will now sell you gold/silver – in various denominations. Try that with your local bank!
And even more interesting is the fact that paper substitutes for gold are starting to appear (like warehouse receipts for actual metal, not fiat money).
One could come up with a lot of reasons as to why the Chinese government is encouraging its citizens to hold precious metals, but one reason that occurs to me is that they know something most the rest of us don’t – the role gold could play in the near/mid-term future.
It’s also no secret that China as been aggressively buying gold – perhaps as an alternative to USD.
Whatever the reasons, the fact the the world’s most populous country is now on a gold/silver binge could be a harbinger of things to come – if and when gold moves into “mania” buying stage (when the price will truly rocket).
If you’re not already buying gold (as an alternative to cash savings), then the time to move on this is now. You may also find my free report on this subject interesting.
Powered by Facebook Comments