Recession historically have shown to benefit gold. The definition of a recession is 2 quarters of negative GDP growth which correlates to lower bond yields. Lower bond yields combined with higher inflation equals lower real yields (stagflation), which pushes investments into gold. Of course we could also experience deflation (which is bad for gold), but I'm not seeing any sign of that yet, the Fed will step in to cut rates and print money.
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Is the recession good for gold and silver ? Can you explain why ?
Recession historically have shown to benefit gold. The definition of a recession is 2 quarters of negative GDP growth which correlates to lower bond yields. Lower bond yields combined with higher inflation equals lower real yields (stagflation), which pushes investments into gold. Of course we could also experience deflation (which is bad for gold), but I'm not seeing any sign of that yet, the Fed will step in to cut rates and print money.
Miners short term looks terrible. Selling from fear though gold s up?
Just keep buying. Gold up, production stable, oil costs down. Logic dictates that gold miners will go up.