Monday, April 25, 2016

Gold, Bitcoin… investors looking for everything but the dollar

Over the past 5 years, the dollar has been the primary safe haven for investors who attempted to walk through the minefields of currency wars, and quantitative easing.  And during this time the reserve currency hovered between 95 and 100 on the index, while purchases of U.S. Treasuries remained at very high levels.
But since the beginning of the year a sea change has taken place, and the dollar has felt the brunt of this investor revolt.  And in its place has seen one old and one new stalwart that could shape the future of all global currencies.
That is because both gold and bitcoin have thrived in this new paradigm shift, and represent the growing desire for a return to sound money, or at least forms of money that are not as controlled by central planners as the world’s fiat currencies are.