Unease Over Banking Sector Turmoil Spurs Huge Demand for Precious Metals

Contact Your Elected Officials
The Epoch Times Header

Bullion shops see spike in interest following bank runs, SVB collapse

COTTONWOOD, Ariz.—Coin Heaven co-owner Gabe Wright saw precious metals demand rise to new heights during the pandemic, but nothing as spectacular as Silicon Valley Bank’s (SVB) collapse.

“It’s getting real,” Wright said, standing behind the glass showcase filled with various silver and gold bullion, coins, jewelry, and sterling in his busy Cottonwood, Arizona, shop on March 20.

“On a dime, it turned around—big time. It’s unprecedented,” he said. “We’ve seen the demand high, but not like this. Of course, SVB started this phase we’re in.”

And where the buying phase—more like a buying frenzy—ends up is anybody’s guess, Wright said.

Once regarded as a “barbarous relic” by the Wall Street financial sector, gold and silver are now in heavy demand to hedge against inflation and financial risk.

Wright said retail demand for precious metals could soon outstrip supply, and if more banks fail, to expect a full-blown “panic.”

He agreed that U.S. Treasury Secretary Janet Yellen didn’t help matters by not announcing a government bail-out for SVB after depositors withdrew $42 billion in early March, spurring the bank’s collapse.

The Federal Deposit Insurance Corporation (FDIC) insures depositor accounts up to $250,000.

Almost immediately after the run on SVB, people began buying gold and silver on the spot market, putting the squeeze on coin and bullion dealers large and small.

As of March 20, gold was on sale at $1,979 per troy ounce, and silver at $22.51 per ounce.

One troy ounce weighs 31.10 grams or 1.1 regular ounces.

Buy Low, Sell High

In November 2011, an ounce of gold rallied to a multi-year high of more than $2,000 while silver soared to almost $50 an ounce before the bull run on precious metals corrected to new lows.

By Allan Stein

Read Full Article on TheEpochTimes.com

The Epoch Times
The Epoch Timeshttps://www.theepochtimes.com/
Tired of biased news? The Epoch Times is truthful, factual news that other media outlets don't report. No spin. No agenda. Just honest journalism like it used to be.

Democrats are Losing by Pushing Their Dirty CR Bill

Talk is going around about the “Democrats Dirty CR” and the “Republicans Clean CR”.

NCAA streamlines transfer portal

The NCAA lords of the Division I Administrative Committee have unveiled a fresh batch of transfer portal reforms.

Section 230 Immunity, Defective Design and Trial Lawyers (Part 2)

Congress granted social media platforms Section 230 immunity even when children are harmed, trial lawyers found a way to bypass protection.

A Tale Of Two Political Parties

While the GOP, led by Trump, has produced results, Democrats offer horrible policies and candidates, presenting a vivid contrast to the American people. 

The Case for Western Islam

The suggestion of a expression of Islam which emerges from western culture is one that comes from a place of love.

Democrats are Losing by Pushing Their Dirty CR Bill

Talk is going around about the “Democrats Dirty CR” and the “Republicans Clean CR”.

Biden Undergoing Radiation, Hormone Treatment for Prostate Cancer

Former President Biden has begun receiving a combination of radiation and hormone treatments for prostate cancer, spokesperson announced.

Homan Says DOJ Probing Funding Behind ‘Organized’ Attacks on ICE

Border czar, Homan said DOJ launched an investigation into funding for what he called “organized” attacks on federal immigration enforcement agents.

There Are No Survivors in the Blast at a Tennessee Explosives Factory, Sheriff Says

The blast in rural Tennessee that leveled an explosives plant and was felt for miles around left no survivors, authorities said Saturday

Trump Names Longtime Adviser Dan Scavino to Key Personnel Position

One of President Trump’s longtime advisers, Dan Scavino, is going to be in charge of selecting and appointing key positions within the executive branch.

First Lady’s Effort Helped Reunite 8 War-Displaced Children With Their Families

First lady Melania Trump said 8 children impacted by the fighting between Ukraine and Russia were reunited with their families on Oct. 9.

Trump to Impose New 100 Percent Tariff on China on Nov. 1

President Trump said that the US will impose an additional 100 percent tariffs on Chinese goods and export controls on critical software starting on Nov. 1.

Trump Admin Agrees to $20 Billion Rescue Plan for Argentina

The U.S. government has finalized a $20 billion economic rescue plan for Argentina, Treasury Secretary Scott Bessent announced on Oct. 9.
spot_img

Related Articles

Popular Categories

MAGA Business Central