Is It Too Late to Buy Gold and Silver? Three Scenarios for 2023

So we got our less than expected Inflation yesterday we're about to get Less than 75 basis point rate hike today That's the most likely case at least and We got our spike in gold and silver spot Prices because of it and we'll probably Even get more in those higher prices Will stick around through the end of the Year so that brings up the question did We wait too long to buy Well let's take a look at what's about To happen in 2023. So we're going to look at buying Pressure for Metals right now now none Of us can predict where prices are going But we can look at the big factors and There are three main economic scenarios Affecting gold in 2023 you have a soft Landing you have a hard Landing with a Possible mild recession and then you Have severe stagflation and any of those Scenarios short of a soft Landing is Probably good for gold so call it two Out of three now it's still not enough To tell you what will happen to the Price of gold specifically there are Always going to be multiple concurrent Factors pushing prices up while other Factors are pushing it down so we're Just going to look at the big picture How each environment would most likely Affect gold prices since that helps with Planning a lot more than listening to Those hype cases calling for big moves

One way of the other so let's start with The soft Landing that means the fed's Efforts get it done prevent a recession Effectively getting inflation under Control without negatively impacting Economic growth and that's a pretty Tough stunt considering most of what's Causing inflation has nothing to do with The fed's rate hikes now feasibility Aside If the Fed pauses rates there's a Possible limbo that happens with the U.S Dollar the market and commodities Everything kind of goes into a wait and See mode market prices commodity prices They hold where they're at maybe they Make some modest gains but there's no Strong need for gold in that situation And that's not good for the price Now at the soft Landing not only avoids A technical recession but it also leads To immediate wide-scale economic Recovery well this is really the one Scenario that just is not good for gold This is sunshine and rainbows nothing But Aces it's also the least likely so I'm not going to say a whole lot more About it than that so the second Scenario has a little bit of a range as Well in the case where the FED pauses Rates before we see that broad economic Recovery that would be more of a hard Landing and we would see a peak for the US dollar so hard Landing that means the Raid hikes slowed economic growth it

Probably means we start actually calling It a recession as well now in that case The price of gold will likely go up for Two reasons first a peak in the US Dollar also then means a fall in the US Dollar bonds give up high yields and That means more inflows into gold now Second is a little bit more complicated But announcing a pause of rate hikes is Typically good for the markets we've Seen that happening already we'll see That happening again and market growth Typically means gains for gold as Investors try to balance their Portfolios if you think about how the Market Works investor confidence leads To more Investments of risk on assets And that leads to a need to offset that With risk off Hedges and that's where Gold comes in and I think Common Sense Tells us that this is probably the most Likely scenario I'm not sure what side Of the spectrum will be on but if we Were to look into the yield curve like Everyone else is there's a lot of talk About yield curve inversions and how That signals recessions now Monday we Set a four decade record it hasn't been That low since 1981. so the thought at Least is that a recession is very likely And investors are operating like it's Coming so investors think the FED is so Focused on moderating inflation that They're willing to sacrifice growth and

That makes sense based on what we're Seeing right now The third scenario is stagflation and This hits at the FED can't control Inflation but their attempts to do so Also slow economic growth and just to Define it stagflation is high inflation Plus high unemployment on top of a Recession now this is not something that Happens often enough to say what it does To Metals at least not with any accuracy But the idea that a hard Landing becomes Crash and Burn would likely have a Larger impact on the prices of metals Than a simple recession would and the Reason for that is that recessions tend To moderate price movement up or down And if this happens here in the United States the dollar will fall even harder And the price of gold and silver will Likely Spike even higher so these are The three big backdrops for Price Predictions anyone who's telling you That we're going to see gold and silver To the Moon next year well they're Probably assuming the final case of Stagflation where inflation continues to Skyrocket while everything else goes Downhill as well that's Crash and Burn Scenario and then anyone saying that the Prices of metals are going to drop and Draw apart well they're probably Assuming the best case of the first Scenario where everything is sunshine

And rainbows by June now the best bet Here is that we're somewhere in the Middle even if we avoid a technical Recession I'm assuming that we're going To see the dollar Peak and then fall That pushes gold up again two out of Three scenarios are good for gold it's Just hard to say how good if we get About 15 gains that's back to all-time High territory maybe we get there maybe It isn't quite that high but those other Two scenarios the extreme cases they're Going to be far less likely and if You're trying to decide if you need to Rush to buy gold and silver before it's Too late I think it makes sense to Consider which case you think is most Likely for 2023 and look not everything Has to be done for direct financial gain There are other reasons for buying Physical Metals in play and temporary Drops in price even longer lulls in Price they really don't bother me and Then on the other side of that I just Don't rush out to buy if I think the Prices are about to head up and if You're wondering if you should do that Rush out put all your available capital On gold I would just be careful going All in especially if it's because Somebody is calling for a crash and burn Year saying that you might not have much Time left to buy now it's incredibly Unlikely that we'll see exponential gain

Soon that would leave you behind and Really it's hard to expect an immediate Gain at all and it's just not something I plan for personally for me gold is a Long game and I don't think that there's Ever really a last chance and anyone Pushing that idea well probably has Something to gain so let us know what You think well the recent gains continue Into 2023 or are we going to continue to See ups and downs let us know and then While you're in the comments be sure to Hit the like button if you found any of This interesting be sure you're Subscribed with notifications turned on If you'd like to see more on the topic And if you're still here thanks again For watching I always appreciate your Time Take care Foreign