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The rush into gold and gold stocks over the past year isn’t a coincidence or a fad — it’s the market’s blunt response to years of reckless monetary policy and rising geopolitical risk, and it looks like the move still has legs. Investors who were told for years that paper promises were safer than real assets are suddenly waking up to the truth: gold preserves wealth when Washington and the Fed lose their heads.
Make no mistake: last year was a historic run for the yellow metal and the miners that dig it. Spot gold climbed from roughly $2,600 an ounce at the start of the year to above $4,300 by year-end — a roughly 65 percent gain — while major gold-mining ETFs exploded higher, with some surging more than 150 percent. That kind of performance doesn’t happen in a vacuum, and ordinary Americans who pay attention will not be caught flat-footed next time.
Industry veterans, like Daniel Oliver of the Myrmikan Gold Fund, argue this cycle is different from past runs and that profit margins at miners might actually hold up rather than be eaten by rising costs. Oliver, a long-time gold advocate, points out that if gold continues to outpace input costs, mining companies stand to see improving profitability — a political and economic reality our elites in Washington refuse to acknowledge when they celebrate easy money.
The macro picture he paints is hard to dismiss: the era of speculative risk-on froth that dominated markets has given way to a regime where credit conditions are effectively tightening despite headline rate cuts. The Fed may be lowering short-term rates, but longer-term yields have moved higher, and the 30-year Treasury yield sits meaningfully above where it was in late 2024 — a setup that historically favors gold over industrial commodities. Markets are sniffing out weaker real growth and treating gold as the real insurance policy.
History offers a warning to anyone still betting on fiat stability: when credit tightens and growth disappoints, gold often outperforms the rest of the commodity complex — you saw that in the 1970s and you’re watching the same script flip again. Oliver also highlights factors that could keep mining costs in check, like moderating energy inflation and weaker demand for other industrial commodities, which would help protect miner margins and extend the rally. If the inputs don’t race higher, miners can actually widen margins even as they produce the metal that’s buying time for savers.
This shouldn’t be framed as mere market speculation — it’s a lesson in common sense. For decades, policymakers prioritized short-term headline numbers over sound money, and now families, retirees, and small-business owners are left to absorb the consequences. Hard assets like gold are not a political statement so much as a refusal to be impoverished by unchecked currency debasement and elite mismanagement.
Patriotic investors would do well to pay attention: the gold story isn’t a fringe theory, it’s the market correcting for years of bad decisions in Washington and the Federal Reserve. Whether you call it prudence or patriotism, protecting purchasing power matters, and this cycle looks like the one where those who prepared will be vindicated while the paper-holders scramble for excuses.
