Can't mine for gold if everyone is out sick, and people aren't out buying gold if everyone is home sick and not shopping?
The only thing to trigger new waves of selling would be actual bad economic data. As scary as a virus is, it isn't economic data. It won't destroy humanity. It has a 2% fatality rate.
I thought the value of gold wasn't in it's value to retail jewellery owners. I thought most of it is stored away in vaults. The owners never see it and they trade pieces of paper, or digital contracts stating they own it. It's value is in a store of value in times of economic uncertainty and/or high inflation.
You are 2 weeks late. But anyhow, if: 1. Bernie gets a heart attack/dies. 2. They develop a vaccine for the corona virus. The market right away rallies 10%...
That bad economic data is going to come because of the virus. I believe that is what the market is pricing in now.
I guess so too. Cause those 2 have always moved together in the 6 months since I bought them. Now if you see the unemployment rate go up, then I think gold will go up also.
A virus is like a terrorist. Terrorist kill relative few people, but that is not their point. The point is FEAR, the same with a virus. The travel industry will get a huge hit if 30% less people using them. If 2% of the Chinese die, who is going to export anything from them? Anybody relying on Chinese work forces (pretty much everybody) will take a hit. Even in America, 2% would be 6 MM people, but again it is people's willingness to spend (aka backbone of the US economy).