4.2.26 - Ing: Gold Price Will Surge Above $6,000

4.2.26 - Ing: Gold Price Will Surge Above $6,000

Gold last traded at $4,674 an ounce. Silver at $72.72 an ounce.

Ing Says Gold Price Will Surge Above $6,000 -King World News

(King World News) – John Ing: The consequence is that the president has opened the Middle East's "pandora box" creating, according to the IEA, "the largest supply disruption in the history of the global oil market," which could severely damage the global economy. Iran has waged war with the global economy, sowing doubts about the strength of traditional alliances. The US-Israeli war has expanded into a worldwide energy crisis, with the effective closure of the Strait of Hormuz blocking 20 percent of the world's oil and nearly a third of the world's fertilizer shipments. Mr. Trump has demanded that countries send warships to keep the Strait open but instead spurned his call and are negotiating with Iran for safe passage of their ships, in a coalition of the unwilling. The disruption to supplies, from wheat to oil, has the potential to spark worldwide inflation, and the increase in rates has already resulted in significant fluctuations in the world's stock markets. In opening the box, Donald Trump has no means to close it.

America was unprepared, thinking that Iran would be a quick victory. Iran otherwise tested America's vaunted defense umbrella with an escalating barrage, attacking neighbouring energy infrastructure, depleting America's and Israel's multi-million-dollar Patriot missiles tasked to take down their cheap drones which cost a few thousand dollars. Ironies of ironies, the Gulf nations have approached Ukraine for their drone defenses, in a possible swap of Patriots for drones. America can only build about 800 Patriots a year, so allies and adversaries are concerned because of the need to replenish their complex and costly air defenses. America's Gulf allies are bearing the brunt of Iran's attacks, so they want a quick end to the war to resume exports because their fuel storage facilities are limited and vulnerable to drones. Similarly escorting ships through the Strait is considered too expensive and risky. Mr. Trump's golden age is mired in risk and while he likes high risk, high rewards, he has gone all-in. Will the world join him?