By David Engstrom | April 03 2013
As gold prices drift lower, savvy gold investors ponder the true state of the economy, rising debt and the growing threat of a North Korean conflict. At present, gold seems to be ignoring the huffing and puffing of North Korea. Surely, though, if one shot is fired the world becomes a different place. If no shots are fired, the cost of the military build-up will weigh heavy on our budget.
Herein lies the true concern of investors. While we are being lead to believe deficit spending/rising debt is a friend to our economy, one cannot help but wonder, why there was a debt crisis to begin with? One that wiped out $7 trillion of home and market equity in a blink. If the economy is fine today with nearly $17 trillion of debt, why was it on the verge of collapse with just $10 trillion of debt in 2008?
It is on this concern that gold investors are taking advantage of lower gold prices. Nothing has really changed for ...