• CURRENT SPOT PRICES:
  • Gold: 2864.10
  • Silver: 31.90
  • Platinum: 975.00
Nashville Gold & Coin. Trump is President. What does that mean for gold?

Donald Trump has now been sworn in as the 47th president.  As he gets to work on his agenda, many are speculating as to how his presidency and policies will affect the precious metals markets. Since gold, silver and precious metals are seen as safe-haven assets, there are many questions swirling as to the impacts of Make America Great Again (MAGA) policy on these metals.

It stands to reason that Trump will pursue policy that makes the dollar stronger, historically meaning that precious metals prices stagnate. However, I for one don't think we should expect the uptrend for gold and silver to stop any time soon…and I'm not the only one.

Gold is Attracting Investors

Recently, Kitco published an article that quotes James Stanley of Forex, a leading precious metals market analyst. Mr. Stanley says the following:

“Trump is not going to rein in spending. He is not going to balance the budget. He’s not going to be a president of austerity,” he said. “Gold is attracting more attention from investors because they are expecting to see some element of monetary dilution in fiat, global currencies.”

Simply put, Trump can't stop the flow of money to the bureaucracy and economy that is dependent on government spending any time soon. This means:

  • The dollar printing presses will continue to run.
  • The Treasury's spending habits will continue unabated.
  • The inflationary pressure will continue, even under Trump's watch.

Since gold and silver remain among the most tried and true inflation-hedging assets, the outlook for these precious metals remains bright.

Tariffs

The potential of imposing tariffs on foreign goods is another aspect to consider regarding President Trump's stated agenda. Tariffs used to be among the greatest source of cash flow for the Treasury. In recent decades, the cash inflow from tariffs has decreased to virtually nothing. President Trump intends to use tariffs to make imported goods more expensive, thereby incentivizing domestic manufacturing for goods we currently import from foreign nations like China. Long term, returning manufacturing to the USA would in theory result in job and wage growth. Short term however, imposing tariffs would most certainly contribute to a higher rate of inflation as the price of goods increases to offset the tariff.

We will soon learn how serious President Trump is about the tariff issue, but even the threat could put more wind in the sails of gold, silver, and precious metals as people seek to protect their purchasing power by putting more of their wealth in safe-haven assets.

Protect Your Purchasing Power

If you are considering protecting your wealth and purchasing power from inflation, we would love to discuss how gold, silver, and precious metals could be a part of your strategy. We stock a wide variety of gold and silver coins, bars, and rounds to meet our clients' needs.

Additionally, we work with our clients one-on-one to provide the best experience possible. At Nashville Gold and Coin, we will strive to meet your needs whether you are a longtime gold bug or a first-time buyer. We provide safe and discreet service and only offer the most commonly traded physical gold and silver products with no high-pressure tactics.

If you are interested in learning more about us, please give us a call at 615-535-2785 or visit our website at NashvilleGoldandCoin.com.

Trump won the 2024 election. What does that mean for gold? The great gold rally could continue through 2025.

Trump won.  Now What - For Gold?

Following Trump's win in the 2024 election, gold sold off it's record highs, causing many to speculate that the bull run in precious metals might be over.

Not so fast according to a recent article from Kitco News. Citing a report from Goldman Sachs research desk:

"While Donald Trump’s election victory and a Republican Party sweep through Congress triggered some selling and profit-taking in the gold market, the investment bank noted that the factors driving gold to record highs have not disappeared.

'The structural driver of the forecast is higher demand from central banks, while a cyclical lift would come from flows to exchange-traded funds as the Federal Reserve cuts,' the analysts said in a note."

As a coin and precious metals dealer interacting with everyday buyers and sellers, I can tell you that I was refreshed to hear the prognosticators of Goldman Sachs validating the common sense truths that get discussed in our office constantly:

  1.  It doesn't matter who wins the election, the fundamental problems with the dollar (and all fiat currencies) remain: the Fed can - and will - just print more.  You can't print gold.
  2. Central Banks continue to hoard gold.  I love the line: "if you don't know what to do, just do what the smartest person in the room is doing."  It seems the smartest people in the room are still buying gold at record levels.

The Fundamentals

For those hyper-economic observers who felt like a Trump win allowed them to take their hand off the panic button, I'd keep in mind that the fundamentals of money supply, inflation and debt will still trend upward in real terms for the foreseeable future.  And the smartest people in the room still keep on buying.

If you are considering increasing your position in gold, silver and precious metals or maybe you are thinking of exchanging fiat currency for real money for the first time, we'd love to connect.  Nashville Gold & Coin is not your typical coin shop or over-the-phone dealer. We offer private, secure and discreet service working one on one with our clients to meet their needs.  Give us a call today at 615-535-2785 or visit our website at www.nashvillegoldandcoin.com.

Nashville Gold & Coin. Nashville's Real Money Source.

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Rumors of War and Silver prices

You hear the constant rumblings of “wars and rumors of wars.” It seems global unrest and potential conflict lurk around every corner. While conflict and apocalyptic fears have always fueled precious metals demand among the populace in search of safe haven assets, there seems to exist an even larger demand for silver just outside of view.

While we know much about silver’s industrial demand from the electronics, solar, and healthcare fields, there exists another industry that may be an ever-increasing consumer of the world’s most conductive metal: the defense industry. The immense demand for silver in the defense industry goes largely unreported and intentionally so.

It turns out this is nothing new. Take the Manhattan Project for example: a U.S. top-secret research and development program, during World War II, resulting in the production of the world’s first atomic bombs. The project was loaned over 14,000 tons of silver from the nation’s stockpile. According to a recent article published by Kitco, “In complete secrecy, the United States removed 430 million ounces of silver from the West Point Bullion Depository to turn 1,000-ounce silver bars into cylindrical billets and wound them onto magnetic coils.” Wow! At today’s price of silver, that is nearly 1 BILLION dollars’ worth of demand! Additionally, Kitco’s report, citing Andy Schectman, states that each tomahawk cruise missile requires 500 ounces of silver. That’s a lot of silver!

But what does that mean for the price of silver? Is the precious metal heading for an all-time high in the not-too-distant future? Do the news headlines and global unrest affect the precious metal market even more than we understand? Could this secret demand potentially drive demand even more and take future prices to unprecedented levels?

As “wars and rumors of wars” continue to proliferate the headlines, we would be wise to consider silver’s application in creating modern weapons of war and its uses in military and aerospace technology. There is a high – and hidden demand for silver that continues to increase as technology increases. These trends, as well as geopolitical tensions, will have an impact on the market and will greatly affect supply and demand of silver.

Yet another reason to own silver – this still affordable and critically important precious metal.

Read the complete article from Kitco News.

Perhaps you have considered purchasing gold or silver. Maybe you’ve wondered where to start or maybe even visited a local coin shop or coin dealer. We operate differently, working one-on-one with our clients to provide a welcoming, safe and secure experience. And best of all, we have a wide selection of Constitutional silver, silver coins, silver bars, and silver rounds.

Call Nashville Gold & Coin today to schedule an appointment. 615-535-2785.

 

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On Wednesday February 19th our very own Kyle the Coin Guy made his second appearance on the Bobby Bones Show, co-hosting for a full hour.