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In the year leading up to the 2024 presidential election, physical precious metals were being purchased by everyone from individual investors up to entire nations and central banks. President Trump’s victory changed this for many as concerned Americans breathed a sigh of economic relief.
But even as individual investors slowed their purchases of gold and silver, institutional investors did not. In fact, most central banks have ramped up their purchases in recent months.
What do they know that average investors and retirees do not?
After the post-election lull, sales of physical precious metals started going up again, especially among those at or near retirement age who wanted to protect their accounts with a Gold IRA.
Augusta Precious Metals reports that there are three primary reasons Americans are again turning to gold and silver for rollovers and transfers.
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Skyrocketing National Debt: Despite the efforts by the White House in general and DOGE in particular, the national debt continues to climb. It is becoming untenable as we approach the point of no return. This, more than anything else, is making many Americans turn to gold and silver for their retirements.
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Weakening Dollar: President Trump has always said he wants currency deprecation, at least in the short term, to help establish fair trade with foreign nations. It’s part of his plan to level the playing field and reduce trade deficits, but in the meantime the dollar goes down while precious metals prices go up.
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Combative Fed: The battle between the White House and the Federal Reserve has been going on since Inauguration Day and shows no signs of slowing. But most agree that they will eventually have to lower interest rates which will very likely propel the prices of physical precious metals upward.