Ron Paul Announces the New Gold Bull Market
“I think we’re in the middle of a bull market in gold.”
That’s the observation of Dr. Ron Paul.
The former congressman and presidential candidate was commenting on the dramatic surge in gold prices. Even with a correction this week, gold is up more than $60 an ounce since its late May low just weeks ago.
In fact, gold is up more than $300 since its low of $1046 in 2015.
“The dollar’s value goes down. It never keeps up. There are more dollars around. The purchasing power goes down. Real wages go down.”
“The purchasing power of gold is moving up again and people will discover it.”
The gold market has certainly taken note of the push for lower interest rates and more quantitative easing. Looking ahead to next years election, President Trump’s thumping for loose money has been relentless, despite his insistence during the last presidential campaign that we are in the middle of a “big, fat, ugly bubble” in the stock market.
Now Trump wants the bubble to get bigger, fatter, and uglier. Recently he remarked on CNBC that if the Fed had listened to him on interest rates, the stock market would be up another 10,000 points.
David Stockman reacted the bubble talk, warning market participants that “when the trap door opens, you won’t even know what hit you.”
Dr. Paul correctly observes that the market is probably 10,000 points too high right now because of what the Fed has already don.
Still, the Fed can certainly make the bubble bigger if it prints enough money, says Paul. But as it inflates the bubble, the people should be frightened by its enormous size. What happens to the cost structure the people will be forced to face? To medical costs? To education costs?
What’s the solution? Gold. “We need to seriously consider the use of gold as part of the monetary system.” But to really work, a gold standard has to be a gold coin standard, says Dr. Paul.
“My main concern, my interest in this is not only because people should protect themselves; I think it’s a freedom issue.
“This strategy of central banking over the last 50-60 years around the world has all been geared to pay for big government.
“Big government always undermines personal liberties and encourages wars.
“The issue is liberty, and liberty cannot be preserved without sound money.”
Well said, Dr. Paul.
And welcome to the gold bull market!
