We sincerely hope that you are well!
We are proud to announce that our 13th annual "In Gold we Trust" report was very well received and distributed to more than 2 million people. For the first time we also published the report in China, which was obviously an incredible milestone for our report!
Since many of our readers did not have time to read the entire 340+ pages, we decided to put together a compendium of some of the most compelling charts and important conclusions of the report.
Some of the key takeaways of our new chartbook:
- Recession risks are significantly higher than discounted by the market. In the event of a downturn, negative nominal interest rates, a new round of QE, and the implementation of even more extreme monetary policy ideas (e.g. MMT) are to be expected.
- The breakdown of trust in the international monetary order is manifesting itself in the highest gold purchases by central banks since 1971.
- Gold reaffirmed its portfolio position as a good diversifier as trust in the “Everything Bubble” was tested in Q4/2018. While equity markets suffered double-digit percentage losses, gold gained 8.1% in USD and gold mining stocks 13.7% in USD.
- De-dollarization is picking up momentum: more and more countries are looking for alternatives to the US dollar, be it trading in other currencies, accumulating reserves of non-US-dollar currencies, or buying gold.
- After several years of creative destruction in the sector, most gold miners are now on a much healthier footing. Historically, the sector is extremely undervalued at the moment.
In Gold We Trust Chartbook 2019 - "Gold Shining Through the Darkening Recession Clouds"
Have a great day and please do not hesitate to contact us if you should have any questions!
Mark J. Valek & Ronald-Peter Stoeferle