Cash is king, more potent than we think

On March 12, 2020, on the eve of President Trump declaring COVID-19 a national emergency, the New York Times reported that something weird had happened on Wall Street as traders ran for cash. They were selling everything they could, including gold, commonly considered as a secure investment during turbulent times. Within the preceding three days, the price of gold dropped from $1,675 per ounce to $1,610 per ounce. A week later, in its headline, the Wall Street Journal proclaimed that “wild rush for cash rattles markets.” The price of gold sank to below $1,500 per ounce. Why cash is better…...