Maybe not so much in AUD, but it's interesting to see gold and silver falling amidst all this market turbulence and the continuing crash in China. What happened to the days when PMs were a safe haven asset?
I think bygone eras have a risk of returning. Many will have missed the news that China has been ramping up a major propaganda push to stoke nationalism. For example, they've just opened a big exhibition aimed at stirring the people's pride and stoking fires of hatred against the Japanese, commemorating their "glorious" and "great victory and historical contribution." This is amidst growing aggression by China and military buildup in the South China Sea, and a large increase in weapons purchases by other nations in the area as a response to an increasingly hostile China.
A few more news headlines that point to a managed, purposeful escalation of tensions: * Beijing launches propaganda war over disputed territories * China stresses nationalism in war anniversary propaganda push * China kicks off WW2 propaganda push The question is can they keep things under control, especially if their economy tanks?
They are, but nobody will give you gold for your shares, bonds or real estate. Step 1. Sell everything for USD, Step 2. Wait until you figure out what's going on, Step 3. If it's all fukt, buy PMs. You can see on the charts how gold dumped 25% during the GFC, then doubled after everyone realized how screwed everything was.
If you let the daily "propaganda" determine how you feel about things they win... See through the noise and accumulate hard assets at bargain prices...should hold you in good stead over the long haul... My $0.02 worth...
