A Brutal Friday
About this episode
Dominic Frisby provides a market update on the recent downturn in gold, silver, and bitcoin prices, discussing the implications for investors.
Let’s start with a quick market update after Friday’s brutal action The last few days have not been pleasant for owners of gold , silver, miners or indeed bitcoin. Friday saw on 8% fall in silver. How January’s euphoria has reversed. That’s silver for you. My ongoing thesis that gold, silver et al go nowhere for a year remains in place. The structural backdrop for gold’s bull market also remains: growing government debt, huge fiscal deficits, ongoing central bank accumulation, de-dollarisation. But the heat needed to come out of the market, and now it is doing just that. Silver I’m less certain about, as per usual. Its monetary role is largely gone, but if/when gold gets going again, silver will get pulled higher. Industrial demand remains robust. A year ago if you’d said silver will be $68 yet silver investors will be despairing, you’d have been laughed at. That said, I think it probably needs to go back and retest $50 before this correction is done. Miners will follow the metal. But it’s important to remember they are effectively leveraged financing vehicles. When risk appetite disappears, they get destroyed almost regardless of geology, though the good ones will come back. In…
More episodes of The Flying Frisby - money, markets and more
- Why Hasn't the Pound Crashed?
- Lifetime Membership Is Ending
- Wise Up: Why I’m Still Buying Bitcoin
- How AI Became My Production Company
- How To Invest In Namibia
- I've Outsourced My Judgement to AI. So Has Everyone Else.
Explore listener stats, chart rankings, contacts and more on the The Flying Frisby - money, markets and more podcast page.