The Year Gold Became Money Again

Longtime readers know I’m no gold fan.

First, gold pays no yield. So, if you buy gold instead of bonds, for instance, you forego any interest income.

Second, gold can lose value for long stretches. From 1980 to 1999, it fell roughly 80% in real terms… And it didn’t reclaim a new inflation-adjusted high until April 2025.

Over that same period, the stock market has risen as much as 18,893%, including dividends. That’s 45 years of gold underperformance.

And yet, gold’s price just smoked everybody last year, up 65%. That type of outperformance demands that you examine what is behind such an outlandish move.

Gold Is Becoming Money Again