Economic Collapse

[Justified]

The Strange Case Of The Falling Dollar – And What It Means For Gold

http://www.alt-market.com/articles/3350-the-strange-case-of-the-falling-dollar--and-what-it-means-for-gold

So far, gold has actually spiked along with Fed rate increases, which might seem counter intuitive, but so is the dollar falling along with rate increases. I do think that there will be an initial and marginal drop in gold prices if the Fed increases the frequency of rate hakes. That said, eventually reality will set into stock markets that the party is over, the punch bowl is being taken away, and Trump’s tax reform will not be enough to offset the loss of access to trillions in cheap fiat dollars from the central bank.

Once stocks begin to collapse in the wake of Fed hikes and balance sheet reductions (and they will), and uncertainty in the fate of the dollar swells, gold will bounce back stronger than ever. In the meantime, I would treat any drop in precious metals as a major buying opportunity. Gold is one of the few assets that always does well during times of crisis.