All fiat currencies in the history of mankind have failed eventually. The dollar will be no different. Take the $140 billion stimulus package. How can the government afford to do this? Either the Fed expands the money supply via inflation or we borrow it from the Chinese (which we then go to Walmart and buy cheap Chinese imports). The dollar is backed by nothing more than the good faith of the US government. Nothing more.
I would not recommend gold at this point. I bought some back in late summer at around $683. I sold it at $938. Gold does not have much of an industrial use like silver.
Gold is considered an inflation hedge. However, you really need to determine if we are in an inflationary environment or deflationary.
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