The Pandemic And Gold

In mid-2016, the average price of physical gold was $1200/oz.  And normally the physical price is close to spot price.  But the Pandemic changed this and now physical gold is 10% higher and silver is 40% higher.  Physical demand has skyrocketed against a relatively small supply.

As of April 15, 2020, your rate of return is:

(current price - buy price) / buy price

($1900 - $1200) / $1200 = 58% over 45 months or 13% per year, tax-free if you bought with cash.  That's a good return for storing some coins in a safe deposit box.

Let's assume you knew in January 2020 that the Pandemic would be eventful.   Silver spot prices were still valid and around $18/oz.   If you bought silver, your rate of return is:

($25 - $18) / $18 = 39% in three months.  Once again, tax-free if you bought with cash.

Our controlled media says the 2020 stimulus bill is a $2 trillion package but it's really $6 trillion with $4 trillion allocated for bank bailouts.  This, of course, is why the virus so conveniently appeared.   The 2008 banking bailout was $800 billion and quite controversial.   This bill is a five-fold increase after twelve years and was approved with little discussion thanks to the virus.   Imagine what the next bailout looks like.   You can't just keep loaning money to people who aren't earning money.   This will always create massive defaults.

The U.S.S.R. collapsed during the late 1980s due to systemic issues with their government and economic system.   Maybe it's time for a history lesson.

Dr. Fauci = bad cop

President Trump = good cop

It's time to start paying attention, punks.  None of this is random.