I was just having a look at the Gold and Silver 20 year chart, and generally they're pretty stable with some relatively mellow spikes in there, if that's not an oxymoron, but overall increase in value, but then since mid 2025 the prices, as we all know, have gone mental...
Gold over the last year has just gone MENTAL, the last six months.....
I'm not really sure what's behind the mental increase in silver and gold over the last year: I guess it's just kind of HYPE over something stable, lack of anywhere else for safe money to go, and then maybe some quick money piling in on the action too.
The thing with price surges fueled by buzz is that fundamentals don’t matter. When the excitement fades, prices come crashing right back down.
And maybe that's what we've got here.....
Or maybe not...
Some analysts, including those at Deutsche Bank and JPMorgan, still like precious metals. They point to global tensions and shaky economies—the usual ingredients for a gold rally. They say this is the chance to buy in cheap while everyone else is panicking.
But to my mind one is still taking a risk doing so. If speculators are calling the shots, these markets could stay bumpy for a while. Maybe prices snap back, maybe it’s more chaos before things settle down.
The real takeaway? This latest crash is just another chapter in the age-old battle between actual value and pure hype. Gold and silver still play a role if you want to hedge against bad times. But too much hot money, and even “safe” assets can turn into a thrill ride.
But I am still tempted to start DCA ing once more...!