Chapter 1589 (1/2)

There are generally two forces to promote gold prices. One is that people buy gold to avoid economic and social crises, including wars.

The other is to deal with inflation, buy gold to keep its value and prevent the decline of wealth.

Although in recent years, the US dollar has risen sharply against the euro, indicating that in the face of the global economic downturn, investors prefer to hold a more liquid US dollar, weakening the hedging and hedging nature of gold.

This is also the main reason that bardstone thinks that gold futures will fall in the short term, or even profit taking will plummet.

However, knowing the general trend of gold and that the strength of the dollar at this time is just a fake Andy, he will not disturb his layout and rhythm for the short-term decline.

If anyone believes that the dollar will continue to be strong and hold a large number of more liquid dollars, then when the painting is torn, they will feel another tragedy next.

Besides knowing the general trend, the main reason why Andy believes in the rise of gold price is that all countries in the world are abusing money to give him confidence.

Governments around the world will eventually pay the world a price for rescuing the currencies abused by the crisis.

From the economic point of view, the most common and effective way to deal with the economic crisis at the national level is to improve the social security system to protect itself, find new economic growth points to get out of the mire, and issue money indiscriminately to pass on the crisis.

However, in this sub-prime crisis, governments all over the world are facing a headache, that is, they can't find new economic growth points...

Needless to say, all that remains is self insurance and passing on crisis.

As a result, the United States launched an astronomical rescue plan, and the European Union launched a rescue plan of 2.2 trillion euros. Eastern powers are not willing to lag behind, launched a 4 trillion rescue plan! (cough, the local government has launched a $18 trillion rescue plan...)

However, after all, banknotes will not fall from the sky. Fortunately, the printing technology is very developed now. In addition to the third-party payment, the rise of electronic money, tut, what's more, even the cost of ink is saved.

Both the US dollar and the euro are international currencies with the ability to pass on crises to other countries. You know, in today's world, 70% of US dollars are circulating outside the United States. The crazy printing of us money can not only promote the recovery of our economy, but also dilute US debt.

Ah ~ as for those countries that do not control the international currency, they have no better choice but to suffer helplessly - of course, they can turn to their own people...

Overuse of currency will inevitably lead to devaluation of currency, which will lead to the hidden danger of inflation. The more money is abused, the greater the hidden danger.

However, governments shivering in the global financial tsunami can't care about the long-term. Let's talk about TM first!

Where else is the death of other countries? Some irresponsible countries, like the fugitives, take Viagra as food.

However, the economic recovery and economic growth piled up by indiscriminate currency is nothing to be cheered about, because the hidden danger has been buried, and it can't be avoided. Even if it's delayed, it will explode!

Under the herd effect, countries are competing to devalue their currencies, and gold will naturally become the first choice for countries and individuals to avoid risks and cope with inflation.

The crazy price of gold is just beginning!

So Andy Smith, who hoards tens of billions of dollars of gold, is the one who is really not afraid to play hooligans around the world!