Source: Fortune
Summary
The author, a value investor, has changed their mind about gold due to concerns about the US dollar’s status as a reserve currency. The US economy is running a 6% budget deficit, has high debt levels, and is experiencing political instability. The country’s military is also perceived as weaker than in the past. The author argues that while the US still has the largest and best economy, its weaknesses make a case for investing in gold as a reserve asset.
Our Reading
The numbers tell one story.
The author’s concerns about the US dollar are driven by the country’s high budget deficit, rising debt levels, and political instability. The US military’s perceived weakness and the rise of democratic socialists also contribute to the author’s bearish view on the dollar. As a result, the author is investing in gold as a reserve asset, albeit in a limited capacity.
The dollar’s status as a reserve currency is cracking, and there is no clear successor.
Author: Evan Null
