Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Stocks Bull Market End Game Bear Start Strategy - 20th Mar 25
Gold and System Collapse: Charting the Bank Run of the Mighty US Dollar - 20th Mar 25
Tesla's Troubles — Is it Musk or is it More? - 20th Mar 25
The Stock Market Bear / Crash indicator Window - 9th Mar 25
Big US Tech Stocks Fundamentals - 9th Mar 25
No Winners When The Inflation Balloon Pops - 9th Mar 25
Stocks, Crypto and Housing Market Waiting for Trump to Shut His Mouth! - 27th Feb 25
PepeCoin (PEPE): Anticipating Crypto Reversals using Elliott Waves - 27th Feb 25
Audit the Fed, Audit Fort Knox, Audit Everything - 27th Feb 25
There Are Some Bullish Indicators in the Silver Market - 27th Feb 25
These Metrics Identify Only 10 AI Related Stocks That Are Undervalued - 27th Feb 25
Stocks, Bitcoin, Gold and Silver Markets Brief - 18th Feb 25
Harnessing Market Insights to Drive Financial Success - 18th Feb 25
Stock Market Bubble 2025 - 11th Feb 25
Fed Interest Rate Cut Probability - 11th Feb 25
Global Liquidity Prepares to Fire Bull Market Booster Rockets - 11th Feb 25
Stock Market Sentiment Speaks: A Long-Term Bear Market Is Simply Impossible Today - 11th Feb 25
A Stock Market Chart That’s Out of This World - 11th Feb 25
These Are The Banks The Fed Believes Will Fail - 11th Feb 25
S&P 500: Dangerous Fragility Near Record High - 11th Feb 25
Stocks, Bitcoin and Crypto Markets Get High on Donald Trump Pump - 10th Feb 25
Bitcoin Break Out, MSTR Rocket to the Moon! AI Tech Stocks Earnings Season - 10th Feb 25
Liquidity and Inflation - 10th Feb 25
Gold Stocks Valuation Anomaly - 10th Feb 25

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Gold and Silver Set to Soar in Euros!

Commodities / Gold & Silver Apr 06, 2008 - 09:36 AM GMT

By: Julian_DW_Phillips

Commodities Best Financial Markets Analysis ArticleThe focus in the gold market has always been on the $ price of gold and yet we have ample evidence of why we should not price gold in the US $, just as the oil price should not be priced in the US $. The fall of the $ has clouded the state of the global economy, its monetary system, as well as most of its markets. The gold and silver price has moved fairly closely with the € in the opposite direction to the $. But should it be attached so faithfully to the €?


A look at the Euro price of gold and silver is helpful keep our perspective on gold & silver:

The € price of gold and silver is a better reflection of their rise, because they are on a currency that has been a relatively healthy measure of value. By looking at gold & silver through these eyes, we are in a better position to gauge the consensus of global market opinion on the state of the world's money system without the corrupting influence of a weak $.

Gold and Silver: Inverse Measure of Confidence

For the gold and silver prices to be able to reflect inversely the levels of “confidence” in the world's money system, we have to put it in a position where it can do so, ideally in a currency “neutral” position, but this is not possible, so to choose a robust currency to measure it, would express global confidence at its best.

The currency of choice then becomes the world's second leading currency, the €, one reflecting a high degree of strength as shown in the foreign exchanges of the world. By pricing the two metals in the € we can also better see its ‘safe haven' value against a strong currency. With the potentially disastrous times for the global financial system that we live in, such a solid gauge would help us to extract local influences, in particular the bad ones dragging that currency down and get a global perspective.

Should any of you doubt the level of danger the money system faces, you only have to listen to the Chairman of the Federal Reserve Mr. Ben Bernanke, describing just why the Fed had to step in and protect the entire U.S. financial system, which could easily have collapsed. There is no doubt in our mind that the ripples from that scenario would have sent a financial Tsunami across the entire global monetary system, probably causing it to collapse. So an item that can act outside the paper currency world, which is dependent on the performance of men and their management and reflect a ‘common' value is needed in these days. [Please do not confuse this concept with that of usable money. Gold and silver have done this for quite a few thousand years before 1970.]

Are you properly structured to fend off the negative impact of these changes like Financial Controls on YOUR investments? [Subscribers contact us on this subject]

Gold & Silver

…can withstand these changes…

 

For the entire report, please visit www.GoldForecaster.com .

Please subscribe to: www.GoldForecaster.com for the entire report.

By Julian D. W. Phillips
Gold-Authentic Money

Copyright 2008 Authentic Money. All Rights Reserved.
Julian Phillips - was receiving his qualifications to join the London Stock Exchange. He was already deeply immersed in the currency turmoil engulfing world in 1970 and the Institutional Gold Markets, and writing for magazines such as "Accountancy" and the "International Currency Review" He still writes for the ICR.

What is Gold-Authentic Money all about ? Our business is GOLD! Whether it be trends, charts, reports or other factors that have bearing on the price of gold, our aim is to enable you to understand and profit from the Gold Market.

Disclaimer - This document is not and should not be construed as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment. Gold-Authentic Money / Julian D. W. Phillips, have based this document on information obtained from sources it believes to be reliable but which it has not independently verified; Gold-Authentic Money / Julian D. W. Phillips make no guarantee, representation or warranty and accepts no responsibility or liability as to its accuracy or completeness. Expressions of opinion are those of Gold-Authentic Money / Julian D. W. Phillips only and are subject to change without notice.

Julian DW Phillips Archive

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Comments

Koichi Ito
06 Apr 08, 10:53
U.S. Dollar is a loser currency?

Think that only thing which lose value is U.S. Dollar. The biggest winner might be precious metals because most precious metals like silver, gold, platinum, and palladium is widly accepted by market. These precious metals are sold in bullion and collector coins( Both Proof and Uncirculated). Second winner is currencies like Euro, Swiss Franc, and Chinese Yuan. These currencies has long way to go to top until U.S. Dollar's Last Days!


Post Comment

Only logged in users are allowed to post comments. Register/ Log in