With many stock markets in the red and Dow Jones headed for worst April since 1932, gold could even reach $4,000
Gold has risen above $3,500 an ounce for the first time while many stock markets are in the red and the US dollar hit a three-year low, after Donald Trump’s blistering attack on the Federal Reserve chair, Jerome Powell, caused alarm among investors.
Spot gold reached the record price on Tuesday morning, extending a rally that has pushed bullion up from $2,623 an ounce at the start of this year. Analysts now predict the metal could even reach $4,000 only a matter of weeks after the price moved through $3,000 for the first time.
The US currency and its government debt are usually seen as a safe haven during times of market turmoil, but as America itself has caused much of the recent volatility investors have been turning to another “port in the storm”, gold, in large numbers.
That kind of complete collapse, world-wide is unlikely. Gold could be useful if a country's currency collapses, which does happen sometimes. Gold dealers will still exist and they can sell it to other countries if they have to. Central banks do buy gold for various reasons. Though, gold is super volatile and highly speculative compared to central-bank currencies (usually), so I don't really trust it as a "store of value" or currency. Gold has the reputation it does mostly for traditional reasons. Theoretically, any rare, expensive to mine/acquire resource could take its place if enough people/institutions agreed on it.
It's fruitless to speculate on what the collapse would look like.
I think it was John Dillinger who said that there are a thousand things that can go wrong in a bank robbery, and if you're a genius you can plan for fifty.
I agree. But countries having their currencies collapse/hyperinflate happens somewhat often and can be studied. It's not exactly the complete economic/societal collapse preppers seem to think about.