Rates

The price of gold entered 2017’s Easter long weekend on a five-month high in response to a cascade of geopolitical events and mid-week comments by United States President Donald J. Trump.

For real estate investors, prudence might dictate that they start considering physical gold, in order to avoid serious pitfalls.

Gold is being powered higher by excellent demand in India (the world’s biggest wedding season is in play), institutional investor concerns about the US debt ceiling (the next deadline is April 28), strong growth in China, and by the populism wave that is sweeping through most of the Western world.

The US owes the world 453,000 tonnes of gold which is almost 3 times all the gold ever produced in history.

The coming French presidential elections are increasing the uncertainty surrounding the euro.

Several “black swans” are looming which could inflict a financial nuclear accident on the U.S. markets and financial system.

Recent progress made in streamlining trade in local currencies has brought Moscow and Beijing closer to creating a financial architecture that could facilitate transactions in gold.

In order to understand the world of finance today – post-gold standard-, post- 2008 crisis-, zero rates- and QE- finance – it makes sense, sometimes, to turn to others than economists.

Seems to me the world is ready to hyperinflate into gold. After all, all currencies have already hyperinflated in the financial world.

The United States Federal Reserve carried through on weeks of speculation by boosting its benchmark interest rate by a quarter point to a range between 0.75 and one percent.