Dow Jones and GOLD!

[Geowizard]

Hi Guys and Gals,

Historically, we have watched the ups and downs in economic cycles, the stock market and GOLD.

There's usually an inverse relationship between the two. Investment in GOLD generally increases when the market, as generally indicated by the Dow goes down. GOLD is a hedge against downturns in the market.

But...

There's a new play when they BOTH go down!

The current events are causing the markets to take a turn for the worse. (not a news flash)

Investors normally sell stocks to buy GOLD resulting in more demand and higher GOLD prices!

GOLD is held by Central Banks all over the world. Could Central Banks sell GOLD to prop up the Market?

What say you?

- Geowizard

[Micropedes1]

I spend a few weeks out in the bush and you guys let everything go to hell in a handbasket. What a surprise I had when I got back in to town!

I just checked gold prices; looks like a downturn in the market of 6-7%. Lots of investors are selling gold to have ready cash on hand for loans or to pay employees. I think that it is only temporary. Impending recession will drive the price back up as investors again seek the security of precious metals against rising inflation and the inevitable devaluation of the dollar. This will be especially true if Congress sends out a few paychecks to everyone to the tune of another $2 trillion of indebtedness.

Give it time. It will rebound in a few short weeks. I am hanging on to my stash; hope that you do the same. Except for a little bit invested in powder and shot i case I am wrong.

[chickenminer]

Ya .... what a crazy world going around out there!
I'm just glad I am in the middle of nowhere and fortunate enough
to be able to just sit back and watch all the drama.

My crystal ball is way too fuzzy on how all this pans out.

[Micropedes1]

I am remote too, Dick. Been home 2 days and already affected by the crazies. My normal sized garden this year is likely to grow to 10 acres to feed all of family. If the deer and pigs show up to raid my pea patch, I’ll eat venison and pork chops too. We have enough equipment, fuel, and generators to be totally self sufficient for a long time. But these city folks might be in a world of trouble if things keep going downhill.

[Geowizard]

Armadillos;

Considering the most plausible source of COVID-19 started with African Armadillos and was transmitted to humans, we might ask if there is a possibility that the process may be reversible. If animal to human transmission occurred, there is a possibility that wildlife here in the US could eventually or may already have become infected.

Feral pigs may feed on downed, dead infected animals, trash, etc. and as we have seen in past cases with swine flu, bird flu, mad cow disease and others, wild animals can become a source of infection.

- Geowizard

[Geowizard]

Light at the end of the tunnel?

I have noticed today that there is a "normal" correlation between the Dow and GOLD.

The Dow continued downward 530 points on March 23rd and GOLD was almost proportionately up!

All of this may signal a return to a normal, more predictable trend in stocks and commodities trading.

- Geowizard

[Geowizard]

... and it's not a speeding locomotive,,

GOLD is UP, precious metals are UP!

Lean Hogs are UP! https://markets.businessinsider.com/commodities

- Geowizard

[Geowizard]

A recent article;

This is an interesting article on the relationship between past pandemics and GOLD prices:

https://www.yahoo.com/finance/news/pand ... 01482.html

- Geowizard

[Geowizard]

GOLD futures;

The burden on the Federal Reserve through Trillion Dollar Stimulus packages is, according to analysts, causing GOLD futures to be on the climb. The debate will remain for years to come as to what the response should have been in so far as the economic cost/benefit of dumping trillions of dollars into stimulus packages.

The supply chain for miners and mining companies will definitely be adversely affected.

Travel restraints have been put in place in Alaska. A 14 day quarantine has been ordered for arrivals in the state. A further 14 day quarantine for those traveling to villages.

These things will reduce GOLD output and with reduced output, GOLD prices will continue to be driven up.

- Geowizard

[Jim_Alaska]

Fear is a powerful tool and especially dangerous in the wrong hands, like government. Fear can and does affect individual lives and liberties and has a great negative impact of society on a broad scale.

I refuse to live in fear.

I believe in being careful, responsible, and reasonable, but fear I will not tolerate.