Has Gold lost its safe haven status?
by jbnaples | October 11, 2018 8:54 am
Hi Travis and my Irregular Friends,
I was just wondering your thoughts on how the price of gold[1] is acting during this downturn.
I understand interest rates affect on gold but inflation should help especially if the dollar looses its luster a bit.
I just don’t see gold being seen as a safe haven this time around as the markets seem to be in a free fall and gold is somewhat flat.
Maybe investors are just waiting to put there money into some big names that were overvalued?
I expected gold to at least pop a little during this volatile market. What are your thoughts?
Thanks in advance for any responses. JB
Endnotes:
- gold: https://www.stockgumshoe.com/tag/gold/
Source URL: https://www.stockgumshoe.com/2018/10/microblog-has-gold-lost-its-safe-haven-status/
I currently have 10% of my portfolio allocated to sprott physical silver and gold etf’s right now. I rebalance during major price adjustments over time. I personally feel these precious metals are a good store of value and provide some insurance in the event of a major collapse. I don’t know when the US dollar will fall, but I think it’s more a matter of when, not if. I also see catalysts from gold backed crypto currencies putting pressure on the gold paper markets. There are several new gold backed crypto currencies. See link below.
http://www.goldscape.net/gold-blog/gold-backed-cryptocurrency/
Kinesis.money for example will allow people to mint their own gold backed coins and earn a perpetual yield with no storage fees. I plan to sell my Sprott etfs in November and start Minting Kinesis KAG coins to earn a favorable yield. I think Kinesis will be a game changer and help drive the price of gold higher.