Gold Hits $2,000By Luke Burgess Written Jul 31, 2020 Well, I...

Gold Hits $2,000By Luke Burgess Written Jul 31, 2020 Well, I think we can say it officially happened...The price of gold increased to $2,000 an ounce for the first time in history.And despite hitting its head on the ceiling, all signs are still pointing to higher prices from here.Shaking off profit-taking in the Western markets yesterday, gold for December delivery (the most active futures contract) increased to $2,005.40 per ounce last night.As I mentioned on Monday, a significant jump in gold prices following the Fed's interest rate meeting could be the spark on the fuse that skyrockets gold prices. And I think that's exactly what $2,000 gold right now is telling us.What most people don't understand about gold bull markets is they'll typically unfold in stages. And looking at the market's path through these stages makes gold more predictable than many other assets.The first stage is long and mostly boring. In this stage, a very small group of investors working independently around the world begins to notice fundamental forces that could drive gold prices higher. Those forces could be the threat of inflation, the next recession, competitive currency devaluation, or any number of social or economic issues.This is the best time to be a gold buyer... if you have the patience to wait it out. But that doesn't really matter now. Because we're way past the first stage of the gold bull market at this point.Let’s Make a DealI’ll give you all the information on the best and brightest tech company I’ve ever seen. You could be a multi-millionaire by the end of the year.But here’s the catch: You have to use your money for good. Take a vacation. Move to a tropical island. Put your family through college... for the next six generations.I’m not kidding. I’ve found the telecom firm that’s leading the charge to bring 5G to every corner of America.Mass media hasn’t picked up on this yet, but it’s only a matter of time. Now’s your chance. Click here to get ahead of the game.In the next stage, the world's central banks and institutional money realize, Gee-whiz, those nutty gold bugs were right, and begin buying gold themselves.We have been watching central banks grow their gold stockpiles for years now. And we just saw a major run to gold by fund mangers following the COVID-19 outbreak. The commodity desks of almost every major financial institution have predicted gold over $2,000. And some, like Goldman Sachs, are now revising their projections higher.Right now that stage is just wrapping up. But it really isn't until the third and final stage of a gold bull market that things get crazy. That's when everyone else is buying gold.And we're just now starting to see that happening!Scrolling thorough the news this morning, I found an article by local Fox affiliate KVVU-TV in Las Vegas titled "Precious Metal Dealers Struggle to Keep Silver, Gold in Stock." In the article, Mr. John Jankowski, owner of Las Vegas Coin Company, is quoted saying:I can’t keep enough material in stock... Now you have middle-class America realizing, "You know, my money may not be worth anything in just a very short period of time"... Eighty percent of our buyers are now first-time buyers or second-time buyers versus the clients that have been coming to us for years.What Mr. Jankowski is seeing is the beginning of everyone else buying gold — the beginning of the mania stage.The demand for safe-haven gold swells like a wave throughout the entire run of the bull market starting with a small group of smart investors, then growing in both size and influence with central banks and institutional money, and then finally with the rest of the public.That's when gold prices skyrocket.During the final stage of the great gold bull market of the 1970s, the average monthly gold price increased over 500% from its low in August 1976 to an inflation-adjusted peak of nearly $3,000 in January 1980.1970s Gold Bull Market