As global economic instability intensifies, financial experts are sounding alarms about growing concerns surrounding traditional currencies and the increasing demand for gold. Matthew Piepenburg, a prominent author and former hedge fund manager, recently highlighted the alarming trend of gold outflows from the COMEX, which reached $21 billion in a single week, during an interview with Commodity Culture.
Piepenburg pointed to this massive withdrawal as evidence of a deepening lack of confidence in the US dollar. “For many of us, the jig is really up,” he remarked, suggesting that more people worldwide are turning to physical gold instead of fiat currencies. This shift, Piepenburg argued, signals the potential end of US dollar dominance, with many countries opting to conduct trade outside of USD-based systems.
Economist Phil Low, founder of The Bitter Draft, echoed similar concerns during his interview with Liberty and Finance. Low warned of an approaching “crack-up boom,” predicting that runaway inflation could lead to economic chaos and societal instability. He pointed to significant physical gold deliveries and declining reserves at the London Bullion Market Association (LBMA) as signs of growing distress in global markets. “Things are playing out rather dramatically in our financial world,” Low said, underscoring the urgency of addressing these economic shifts.
Low also emphasized the need to reassess the value of gold, which he believes has been inaccurately pegged at $42.22 per ounce for decades. “To revalue the dollar against gold is to reprice everything in gold terms,” Low explained. He warned that revaluing gold to $3,000 per ounce would likely trigger hyperinflation.
Peter Boockvar, Chief Investment Officer for Bleakley Financial Group, also cautioned against the rising risks of recession, particularly as tariffs continue to fuel market volatility. Boockvar referenced the Atlanta Fed‘s GDPNow projection, which showed signs of significant economic contraction, partly due to gold imports being excluded from GDP calculations. He criticized the current administration’s economic policies, noting, “Trump is working off of false premises, thinking deficits are bad.” Boockvar recommended that investors diversify their portfolios, focusing on value stocks, precious metals, and international exposure to mitigate risks.
Ian Everard, owner of Ark Silver Gold Osmium, also raised concerns about the state of the precious metals market. Everard warned that low gold and silver inventories could lead to a “physical failure to supply,” with demand outpacing available resources. He highlighted the declining silver stocks at the LBMA and growing industrial demand as major risks to market stability. Everard also discussed the increasing strategic importance of rare metals like rhenium, which is becoming more valuable due to its scarcity and high-value applications. “Rhenium is incredibly undervalued compared to platinum,” he noted, citing its low annual production as a key factor in its growing demand.
Experts agree that the global economy is entering a period of heightened uncertainty, and investors are advised to reassess their strategies. Piepenburg, Low, Boockvar, and Everard each stress the importance of securing tangible assets, particularly physical gold, to navigate the volatility ahead. With the increasing instability of fiat currencies, these financial experts suggest that precious metals could offer a vital hedge against potential economic turmoil.
As global financial systems face mounting pressure, proactive investment in physical assets like gold and silver may be key to weathering the storm.
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