Tag: ECB
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Negative interest rates and the price of gold
Q: How will negative interest rates affect the price of gold? A: On a fundamental level and for obvious reasons, negative interest rates are another reason to own precious metal assets: they refute the objection that gold does not earn interest. Q: Why have the BOJ and ECB gone to negative interest rates? A: Officially…
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A Contrarian’s Case for Precious Metals
In my estimation, Central Bankers around the world have an acute fear of deflation. Their prescription has been (and continues to be) hefty doses of easy money. A plethora of British Pounds, and abundance of Euros, a deluge of US Dollars, a surplus of Swiss Francs. This is an ongoing and concerted strategy to avoid…