It is exciting to see the price of gold soar to unprecedented levels, but we should also be horrified by what is happening to the U.S. dollar.  

For years, many of us warned that debasing our currency was a really bad idea.  There are two primary ways that our leaders have done this.  Firstly, we have added more than 27 trillion dollars to the national debt since 2009.  Borrowing money that we do not have and pumping it into the economy temporarily raises our standard of living, but it also debases our currency.  Secondly, the Federal Reserve created trillions of dollars out of thin air and used it to buy bonds.  A lot of pundits hailed "quantitative easing" as a wonderful thing when it was introduced, but it has had very serious consequences.  Now the wealthy are swimming in cash, but the value of our currency has plummeted and our standard of living has crashed.  The first half of 2025 was the worst first half of a year for the U.S. dollar in more than 50 years.  In other words, the purchasing power of your money has gone way down.

The reason why the price of gold is skyrocketing is not because everyone has suddenly discovered how great gold is.

The reason why the price of gold is skyrocketing is because the U.S. dollar is in the process of collapsing.

On Wednesday, the price of gold crossed the $4,000 threshold for the first time ever…

Gold surged past the $4,000 an ounce level for the first time on Wednesday, building on a record-breaking rally as broader geopolitical and economic uncertainty, as well as expectations of U.S. interest rate cuts sent investors flocking to the safe-haven asset.

Spot gold was up 1.58% at $4,047.28 per ounce. U.S. gold futures for December delivery gained 1.58% to $4,067.70. Silver also latched on to gold's rally, gaining 3.24% to $49.37 per ounce, and hovering just below its all-time high of $49.51.

A lot of people are celebrating this milestone, and there is nothing wrong with that.

But let's not lose sight of the bigger picture.

So far this year, the price of gold has increased by 54 percent…

Gold, traditionally seen as a store of value during times of instability, is up 54% year-to-date, after gaining 27% in 2024. It is one of the best-performing assets of 2025, outpacing advances in global equity markets and bitcoin and losses for the U.S. dollar and crude oil.