Kyle Thomas Homan's  Instablog

Kyle Thomas Homan
Send Message
Chief Architect of Internet, GUI, Smartphones, Technology Enthusiast, Stock Market Advocate, Screen/Songwriter, Author, Latvian!
  • Gold 2020 0 comments
    Mar 18, 2013 2:28 PM | about stocks: GLD

    Gold as a medium of exchange and the foundation of currency and investments will push global gold demand to all new highs by 2020 and with it record highs for the precious metal. Americans are lacking in their demand for the metal and with it may lose out on some future gains from the metal. Gold consumption in India and China will drive demand for the metal to all new record highs by 2020, price target of 3141 an ounce and be critical as a medium of exchange and resource for investment. Do not get me wrong I fully understand the role industrial diamonds play in the economy, but with the money supply based on fiat currency, which the government is expanding at an alarming rate, gold is poised to capture a lot of the appreciation it deserves as the most revered investment of all time.

    When all is said and done nobody likes working for something for nothing like the fiat currencies we base global trade on, which one day will end in a move back to the gold standard. Manipulating the money supply is a way to avoid a depression, which we would surely be in if investors wanted too much reliance on gold. The way we can justify a fiat currency is backing it with hard assets like gold, silver, diamonds, gems, and other critical goods and services. Nevertheless gold is in high demand in china, which is doubling consumption and is the largest producer of gold in the world now. In my opinion we need hard assets to assert our dominance of global trade and acknowledge the importance gold plays in the financial system.

    Disclosure: I am long GLD.

    Stocks: GLD
Back To Kyle Thomas Homan's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


  • Bond bubble is big!
    Jul 4, 2015
More »
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.