The main point I wanted to make is that globally, all currencies are devaluing with respect to gold. Hence, if you are a large corporation with lots of cash in the bank and are not investing in any projects today, you will be losing purchasing power over the next few years. Your cash will purchase less and less over the next few years. Construction costs will go up due to raw material prices rising and hence the prices in secondary property market, residential, commercial and industrial property prices will follow. Energy and food prices will climb with the rise in the price of gold. You will find that, for example, if you planned to undertake a $10,000,000 project at today’s price, it would probably cost you $15,000,000 to $20,000,000 or more in a few years’ time. Then you may need to run to the bank for a bridging loan and share your profits with the bank by making interest payments or just abandoned any expansion plans. If you had invested the money today you probably could have rolled the money to generate sufficient profits to offset the loss in purchasing power.
This gold price climb is causing the window for business opportunities to close within a few more years if your business has a limited amount of capital.
