December 1, 2022, 11:22 am EST
Traditional Inflation Weapon – Gold
People rushed into virtual currency during the cryptocurrency era and forgot the precious metal. But after the bankruptcy of FTX and -a 75% drop (bitcoin) in about a year, some people realized that cryptocurrency is not a reliable investment asset.
Moreover, Fed’s comments yesterday prove that inflation is not their most important concern compared to job markets or economic activities. It paves the way to accumulate inflation momentum for months to come when a slowdown in rate hikes is coming.
Thus, precious metal like gold and silver draws attention again. Gold price ETF (GLD) is up +1.7% and gold miners ETF (GDX) has advanced +3.3%.
Please check out the charts of gold/silver stocks we can see these precious metals are rising up from the bottom: GOLD, NEM, AEM, FNV, KGC, PAAS, AU, etc.
They become candidates for a watchlist or portfolio. Having a food entry point and exit strategy, gold and silver could survive well during a tough market.