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Gold fever is on the rise and the demand for silver is also increasing

July 31, 2023 by
Kimmo Ko
  • Gold Switzerland: A hint of gold fever - a significant revaluation of precious metals is near
  • Schiffgold: Gold is continuously moving from west to east
  • Schiffgold: The demand for silver in solar energy production is skyrocketing

Hint of gold fever - a significant revaluation of precious metals is near

The article speculates on a significant revaluation of gold and other precious metals. The author suggests that the current global economic situation presents a unique investment opportunity. The position of the Western empire is weakening, while the Eastern and Southern empires, represented by the BRICS and SCO groups, are growing in significance. With the potential unification of these groups, gold is expected to play a central role, and the East anticipates rapid growth in the coming decades. The article also discusses the history of the US dollar and its connection to gold. The author predicts a significant shift away from fiat money towards commodity-based currencies, with gold leading the way. Owning Western government bonds is considered risky, and investing in commodity-based assets, particularly precious metals, is recommended as a growth area for the future. The author emphasizes the importance of physical gold and silver in preserving wealth, especially as global energy costs rise and the number of major gold deposits decreases. The article encourages investors to consider gold as a hedge against currency crises. Overall, the author believes that the stage is set for a significant revaluation of gold and the entire precious metals sector.

Gold is constantly shifting from west to east

Michael Maharrey, Schiffgold
June 27, 2023 The article highlights the steady shift of gold from west to east over the past three decades. China and India have been significant gold consumers, with their demand accounting for nearly 50% of global total demand. Economic growth and cultural tradition have contributed to the strong increase in gold demand in the east. In particular, in India, gold demand rose significantly in the 1990s when government policy changes liberalized the gold market. Gold is not just a luxury item in India; even the poor acquire it. Most Indian households possess some gold, and even the country's poorest families own it. In China, on the other hand, the government's easing of gold purchase restrictions in the 1990s led to a significant increase in gold consumption, and the country is currently the world's largest gold consumer. The shift in gold demand to the east has also been observed in central banks' gold purchases. In recent years, the largest buyers have been China, India, Turkey, and Singapore, which have steadily increased their gold reserves. In 2022, a slight shift of gold holdings from west to east was also noted, as many Western investors sold gold and Asian buyers took advantage of lower prices to acquire jewelry, coins, and gold bars. In East Asia, many people use gold as a primary means of saving and preserving wealth. Due to cultural tradition, they have learned a long-term perspective on the value of gold and see it as a reliable way to maintain purchasing power. Unlike in the West, where the financial system moved away from the use of gold decades ago, gold remains an important element in economic life in Eastern cultures.
"Buying gold when a crisis is underway is like trying to get home insurance when your house is already on fire."

The demand for silver in solar energy production is growing tremendously

Michael Maharrey, Schiffgold
March 7, 2023 As the demand for green energy grows rapidly, the production of solar panels requires significant amounts of silver. Research suggests that solar cells may consume about 85-98% of the world's silver reserves by 2050. Silver's excellent electrical conductivity makes it an important element in the manufacturing of solar panels, as it conducts electrical charges from the solar cell to the system. Although technology is advancing, the demand for silver is likely to increase with the continued growth of the solar panel industry. While recycling efforts could help, the demand for silver driven by solar panels poses supply and price risks. Strong government investment in renewable energy keeps the green energy sector growing and thus maintains the demand for silver in the future.  

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