The Eternal Relationship between Gold and Global Crisis

The Eternal Relationship between Gold and Global Crisis

The comments below are an edited and abridged synopsis of an article by Brandon Smith

Gold is usually the go-to asset in times of crisis and uncertainty. In fact, you can almost predict when things will go wrong simply by watching how much gold central banks around the globe stockpile in a particular year.

The banking establishment is often privy to impending disasters, usually because they participate in creating them. Governments and banks always hoard gold when instability erupts, because it not only shields their assets from decline, but also shields their position of power.

Those with an unbreakable economic position backed by hard assets tend to accumulate even more assets for pennies on the dollar, not to mention more political and social control, when things go wrong. As the wealth gap widens, so does the power gap.

It’s not that the elites have a personal use for all of these assets, they just don’t want YOU to have them. This is because as hard assets and personal wealth are vacuumed up by the banks, they remove the concept of private property from the public consciousness, and thus, they destroy your independence.

The central bank pattern of wealth protection and then wealth takeover is evident in their moves to scoop up gold at the perfect time just before a crisis. In most cases, regardless of the crisis, gold prices tend to spike. In other words, most crisis events show central bank gold reserves jumping just before they happen, and gold rallies dramatically in response.

It only makes sense that gold will once again become the premier asset for defending your savings. Remember, central banks are stockpiling the precious metal for a reason.