Bullion and Bitcoin Bounce Back

For the seventh straight month consumer prices surged more than expected crushing the Fed’s dream of only 2% inflation.  Meanwhile, Gold and Bitcoin bounce back.

So, when the Fed says they are hoping for a 2% inflation number to magically fall out of the sky, are they factoring in the price of eggs?

Hardly.

They can fudge the numbers all they like.

But at the end of the day, consumers (most of whom cannot afford necessities) are paying more for everything in addition to the price of eggs.

So why are Gold and Bitcoin prices going up while stocks continue to get beat up?

Glad you asked.

Because the reasons for buying Gold and Bitcoin are totally different.

Let’s look at a few of those reasons.

Gold is tangible.  And you can hold it in your hand.

Bitcoin is digital.  And can disappear with one keystroke on a computer.

Gold has been around for over 5,000 years and has always been considered a safe haven.  And it tends to move slow and steady.

Bitcoin has been around since 2008.  And since then, has given new meaning to the word “Volatility” while simultaneously creating untold fortunes in a remarkably short time.

Bounce Back

Ironically (or NOT) both are controlled by the Boyz with Big Bucks and NOT average investors.

Which is one of the reasons they have both bounced back in the face of terrible CPI numbers.

And that’s because Big Money is looking to expand their percentage of holdings in both gold and Bitcoin.

They see the writing on the wall and where both assets are headed.

Meanwhile, the average investor has very little gold or Bitcoin in their portfolios…to the tune of less than 1% and in many cases 0%.

Hopefully that will change soon as the Big Boyz continue adding to their holdings while trying to keep the price from running up too fast.

Keep in mind that gold and silver mining stocks will rise much faster than the physical bullion price.

That is not the case with Bitcoin.

Be sure to check out our Short and Sweet Tips column in the February edition of “Simplifying Wall Street…In Plain English” (HERE) where we will be updating our mining stocks to consider.

Share this with a friend…especially if they have considered buying gold or Bitcoin.  They’ll thank YOU later.

And tell them:

We’re Not Just About Finance

But we use finance to give you hope.

Support always welcome via the digital tip jar.

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