Patience will pay off for gold and silver investors says author Jim Rickards

Jon Blogosphere, Economy, Fiscal Policies, Gold, Market Commentary, Precious Metals, Silver

Gold bugs need to be patient as history is on their side. That’s the message from ‘Currency Wars’ author and investment manager Jim Rickards writing this week for The Daily Reckoning website.
He still sees gold going to ten times its current price and silver prices rising by a multiple of that. However, this may take time and the waiting game is part of the key to getting this investment right.
Time lags
‘Inflationary forces often appear only with significant lags relative to the expansion of the money supply,’ he says. ‘This was the case in the late 1960s and early 1970s. The Fed began to expand the money supply to pay for Lyndon Johnson’s ‘guns and butter’ policy in 1965. The first sign of trouble was when inflation increased from 3.1 per cent in 1967 to 5.5 per cent in 1969.

This post was published at Arabian Money on 10 September 2014.