New Must Read Report and Must See Charts on Gold
- “Gold remains in secular bull market”
- System is addicted to unsustainable debt
- Persistent deflationary forces threaten system
- Monetary authorities to take increasingly risky measures to engender inflation
- Debt based monetary system is crux of problem
- “All available means” deployed to prevent global government bond bubble from bursting
- Aversion to owning any gold whatsoever displays “ignorance of monetary history”
- Gold’s qualities as store of value and medium of exchange to be “rediscovered”
- “Gold price target of USD 2,300” in three years
The bull market in gold remains intact and may soon reassert itself according to asset managersIncremental in their must
read yearly “In Gold We Trust” report.
“We are firmly convinced that gold remains in a secular bull market that is close to making a comeback” the report
states.
Incrementum list the most important arguments in favor of diversifying into gold:
Global debt levels are currently 40% higher than in 2007
The systemic desire for rising price inflation is increasing
Opacity of the financial system – volume of outstanding derivatives by now at USD 700 trillion, the bulk of which
consists of interest rate derivatives
Concentration risk - “too big to fail” risks are significantly higher than in 2008
Gold benefits from periods of deflation, rising rates of price inflation and systemic instability
Gold is a financial asset that has no counterparty risk
The persistent deflationary pressures we have witnessed since 2011 caused by “widespread, chronic over-indebtedness”
threaten the system which requires ever more borrowing to bring cash into being to pay down interest on existing debt.
Relative to the monetary base, the gold price is currently at an all time low. In our opinion, this is a temporary
anomaly, which we believe provides an extraordinarily favorable buying opportunity.
Gold’s position is assured because of the total reliance of our debt-based monetary system on unsustainable inflation.
The report states that “we have all become guinea pigs of an unprecedented attempt at re-inflation.” QE and negative
interest rates “are a direct consequence of a systemic addiction to inflation.”
ENDS