OKI-DOKI, but if this is all just about demand for gold by central banks and others like them, based purely on "status", couldn't we say that gold is a bubble?
No.If interest rates were 2 to 3 % + . why would anyone want to hold gold which may cost 2 to 3 % for storage?If interest rates go up , gold may see a 40 % correction , but Interest rates may have to go up due to hyper inflation , gold will out perform first.
now is the time to hold gold with short term rates close to zero. if interest rates go up the opportunity cost of holding gold will go up. if interest rates go up why will go gold outperform in the beginning?
With weak growth , there will have to be serious inflation before interest rates are raised , so you have inflation rise before interest rates.Gold rises when inflation rises.
I guess I can imagine this scenario. How confident are you that this is the way things will unfold? Also given your timeline, I'm gonna have to sell my gold right after it outperforms and before the 40% correction. But if everyone tries to do that, isn't it gonna be a case of everyone rushing for the door all at once? And isn't that exactly what happens with bubbles?
It isn't really a bubble , cause India and china are huge investors .The growth in these countries will support any pull-backs , so I don't really see a 40 % correction , maybe 20 % correction.
I got scammed many times by internet bubble and the muppet masters and share rampers.My pep account is halved over last 12 years .
============= Sounds like you had several good points O Pro But actually QQQ had some great uptrends and crash bear trend. Any suggestions for the central banks BRO Ben maybe learning today????? Like em or hate em; FED has plenty of gold reserves.I would stiil like an audit also