CALGARY: The mere possibility of a tiny rate hike is all it takes to collapse the markets, and the world's billionaires and central banks are buying gold & silver in record amounts. And here’s why.
China and India are both on track for a record breaking year. Former Bank of England head Mervyn King and former Fed Alan Greenspan are both advocating gold ownership. Legendary stock market billionaire George Soros has been 'dumping stocks and buying gold' and just yesterday his associate announced gold will 'skyrocket to $2000', even Lord Rothschild has turned to "other currencies [not the dollar], gold and precious metals." "The geopolitical situation," says Rothschild, "has deteriorated and the slowing down of economic growth will surely lead to problems."
Like Don Pittis of CBC News recently expressed 'What did we think was going to happen?' with interest rates so low for so long – inevitable inflation is coming, and a weaker dollar will follow. Bad news right? Not for gold & silver investors. The precious metals analysts are forecasting soaring gains.
Mauricio Londono, Director of Precious Metals International, the largest bulk bullion distributor in the world, explains "there is something happening, people are beginning to realize the importance of holding and growing some of their wealth outside the banking system – they are buying precious metals".
Senior Analyst Milton Hunter of The Bullion Advisory Group, who manages considerable assets, says "there is a co-relation between destabilizing events and stronger precious metals performance, always has been, and less sophisticated investors are now adding precious metals to their portfolios as insurance against geo-political instability".