gold currency

With increased fears of uncertainty with the upcoming election, talks of additional stimulus and the chance of a second wave of coronavirus emerging amid flu season, one can’t help but wonder how hard the hit to our economy will be?

To start, take a look at central banks. They’re ‘printing money’ and creating large amounts of dollars from thin air and using it to pay its own federal debts.

What if all the fears come true and the economy starts going down – how could it get better?

While there are many factors to consider, experts believe that an aged old asset will be the key underlying factor to economic recovery.

And with so many global signs pointing in that direction, it’s hard to disagree. Central banks are buying gold at the highest levels we’ve seen in nearly five decades, even higher than that of the 2008 financial crisis.

Trade wars, sanction threats, and geopolitical issues have all acted as “incentives” for them to move away from the US dollar and diversify elsewhere.

Other countries like China and Russia, two of the biggest buyers of gold in the past couple of years, are rumored to be bypassing the dollar with their consistent acquisition of gold.

If we stop to think that it has only been 49 years out of thousands that the world has seen a monetary and financial system that is not pegged to gold, it may leave you questioning why we ever got away from it.

However, Turkey seems to be a few steps ahead of everyone as the largest purchaser of gold in the last twelve months, nearly doubling their supply. At 268.9 tons of gold, they purchased more gold in six months than every central bank in the world combined.

So, why is this? A weakening economy and dollar. Some experts believe that their recent ramp up in gold purchases is due to the past two years of turmoil their economy has been facing. In other words, this could be their attempt at moving away from their own currency and into gold.

Nations are relying on the power of gold so much, that gold-backed currency is beginning to sound more realistic.

America has seen its own influx in gold as well. The volume of gold ETFs purchased this year set a new record. It’s up $32.5 billion compared to the old record of $12.8 billion is impressive, mainly since gold has always been used as a hedge against inflation in uncertain times.

Every empire and economy that has ever existed up until 1971 used it to back their financial well-being; it’s time that we got back to doing the same.

Adding gold to your IRA can be done in as little as 3 steps. At American Hartford Gold, we specialize in precious metals and can help you through the entire process. Start protecting your assets now.

Click here to learn more or call us at 800-462-0071 to speak with one of our specialists.