The headlines seem contradictory. The world appears more uncertain than ever, geopolitical tensions are rising, economic risks are increasing, and yet gold and silver are falling. For many investors, this feels wrong. It almost seems as if something that people have relied on for decades is no longer working.
But this is exactly where the key point lies. What you are experiencing is not a flaw in the system. You are experiencing how the system actually works. Anyone who sees precious metals as automatic winners in times of crisis will feel unsettled in moments like this. But those who understand how markets truly behave under stress recognize that these phases often lay the foundation for the next major move.
Even Gold and Silver Come Under Pressure in Crisis Phases
In real crises, something happens that many people do not expect. It is not just the stock market that comes under pressure. It is not only speculative assets that decline. In the first phase of a crisis, almost everything is sold, including gold and silver. The reason is not a loss of importance or trust, but something much more fundamental: Liquidity.
When markets are under stress, large market participants suddenly need cash. Loans must be serviced, losses must be covered, and so-called margin calls must be met, meaning additional capital is required when collateral loses value. In these moments, one thing matters above all else for large players: immediately available liquidity.
In that exact moment, what gets sold is not what is bad or unwanted, but what can be turned into cash instantly, reliably, and anywhere in the world. Gold and silver belong to this category like almost no other asset. They are not just commodities, but forms of money that have proven themselves over thousands of years: scarce, valuable, mobile, globally recognized, and always liquid. Precisely because they represent the purest form of liquidity, they are often sold in phases of panic and stress. The fact that they come under pressure in such moments is not a sign of weakness, but proof of their unique quality. Not because their value is in question, but because their value is universally recognized.
A Fundamental Shift in Market Structure
In the past, the logic seemed simple. Rising uncertainty led directly to rising gold and silver prices. This idea still exists in many minds today. But the structure of the markets has changed. Today, gold and silver markets are influenced far more by central banks, governments, and institutional investors. These actors do not act emotionally, but strategically. For them, gold is not a spontaneous reaction to bad news, but a long-term reserve.
This is precisely why geopolitical escalation can lead to seemingly contradictory price movements. When trade flows are disrupted, revenues come under pressure, and liquidity tightens, new purchases are often paused. In some cases, existing positions are even reduced to maintain financial flexibility. In the short term, this puts pressure on prices. In the long term, however, it does not change the fundamental role of gold and silver as real assets.
The Difference Between Price and Value
At this point, many investors make a critical mistake. They confuse price with value. A falling gold price does not mean that gold is losing importance. A falling silver price does not mean that silver is no longer a form of protection. What declines in the short term is the market price. What remains is the intrinsic value of a physical asset that cannot be created at will and does not depend on the promise of a debtor.
In times of increasing political and economic uncertainty, this distinction becomes even more important. Trust in paper assets, governments, currencies, and financial systems is under pressure worldwide. In such an environment, real assets do not lose relevance. They gain it over the long term. Their path, however, is not always linear.
The Best Entry Points Rarely Feel Good
The uncomfortable truth is that the best entry points rarely feel good. They do not come with positive headlines, optimism, and clarity. They come with uncertainty, fear, and doubt. That is exactly why so few people take advantage of them.
Those who wait until everything feels right again usually wait too long. By then, the sharpest declines are already over, uncertainty has disappeared from the headlines, and prices have often already moved significantly higher. What feels good at that point is rarely attractive for long-term wealth building.
That is why it is essential in moments like these to look beyond daily price movements and focus on the bigger picture. The key question is not whether gold or silver fluctuate today. The real question is whether the reasons for holding physical precious metals have disappeared. And clearly, they have not.
Physical Ownership Becomes the Anchor in Uncertain Times
In phases like this, the difference between theory and real ownership becomes especially clear. Paper assets can come under pressure, prices can fluctuate significantly, and market sentiment can shift daily. Physical ownership, however, remains. It is not just a number on a screen, but a tangible asset.
At Elementum, clients are 100% owners of their precious metals, which are stored in Switzerland and remain available and liquid at all times. Elementum International AG specializes in the storage of precious metals in Switzerland, while buying and selling is handled through national Elementum trading companies.
In addition, storage takes place in high-security Swiss vaults and includes services such as security, insurance, verification, certification, and logistics. Storage is flexible, not tied to a fixed term, and can be terminated at any time.
This Phase Creates Opportunities for Long-Term Investors
What we are currently seeing in the markets is not evidence against gold and silver. It is a typical sign of an acute stress phase in which liquidity temporarily takes priority over everything else. Such phases confuse many people because they contradict the simplified idea of safe havens. In reality, they show that in extreme situations, markets first seek liquidity and only later return to security.
For long-term investors, this is exactly what matters. Once this initial wave of selling passes and attention shifts back to loss of purchasing power, debt risks, currency instability, and geopolitical uncertainty, interest in real assets usually returns. And that is when the move often begins, the one many were waiting for but did not have the conviction to act on during the uncomfortable weeks before.
Bottom Line: Perspective Matters More Than Fear
Gold and silver are not falling because they are losing value. They are falling because, in an acute stress phase, cash temporarily appears more important than safety. This is not a sign of weakness, but a typical pattern in times of severe market stress.
Those who understand this recognize that this is exactly when the most important phase begins. Not for short-term speculation, but for intelligent, long-term wealth protection. The best decisions rarely happen in moments of comfort. They often happen when others hesitate, doubt, or are unsettled by short-term price movements.
That is why it is worth not reacting nervously to every market move, but instead asking a far more important question. If real assets are not attractive in a world defined by uncertainty, geopolitical tension, and declining trust in currencies, then when would they be?
How can you buy precious metals cheaply and store them safely?
Elementum Deutschland GmbH, based in Sindelfingen (Germany), specializes in trading physical precious metals. Customers who purchase precious metals from Elementum Deutschland (or one of the other national Elementum companies in five European countries) can store them in the renowned high-security vaulting facilities in the St. Gotthard Massif in Switzerland at Elementum International AG.
Of course, you also have the option of purchasing gold and silver directly and having it delivered to your desired address. However, storing silver in the so-called open duty-free warehouse (“offenes Zollfreilager”) at St. Gotthard offers decisive tax advantages:
- The 19% value added tax customary in Germany is completely waived on purchases and sales – a considerable price advantage that effectively secures you 19% more silver for your money.
- If you store your silver in this high-security vault, you can sell it back to Elementum Deutschland GmbH at any time – without any bureaucratic hassle and also without VAT, as the trade takes place within the duty-free warehouse. You will receive the funds via bank wire.
- VAT is only payable when you physically remove the stored silver – either by picking it up in person (after prior notification) or by having it shipped to your address.
More silver, more return
Thanks to duty-free storage, you receive 19% more physical silver when you buy. This additional amount also participates in the performance of the silver price if it rises – a leverage effect that significantly improves your return opportunities.
About Elementum
Elementum is a second-generation, owner-managed family business. Trust, consistency, and long-term thinking are at the heart of our philosophy. The Board of Directors of Elementum International AG is composed of internationally renowned experts in the money and precious metals markets, including economists, analysts, university professors, and precious metals specialists. This in-depth expertise forms the backbone of our actions – for your security, your assets, and your future.
About the Author
Stephan Bogner
CEO of Elementum International AG
Stephan Bogner, who holds a degree in business administration, studied economics at ISM Dortmund (Germany) and wrote the university’s first thesis on precious metals as a hedge against inflation. After studying in the UK and Australia and gaining professional experience in Dubai, he took over as CEO of Elementum International AG in Switzerland in 2012. His expertise in precious metals has had a significant impact on the company’s development.
Contact
Rockstone News & Research
Stephan Bogner (Dipl. Kfm., FH)
Müligässli 1, 8598 Bottighofen
Switzerland
Phone: +41-71-5896911
Email: info@rockstone-news.com
Disclaimer: This article reflects the personal opinion of the author. Elementum assumes no responsibility for the accuracy of the content and accepts no liability for its use. This article may contain links to external third-party websites. Elementum is not responsible for the content of these external sites and expressly distances itself from all information provided there. At the time the links were created, no unlawful content was identifiable. This article does not constitute a recommendation to buy or sell. Elementum International AG is a Swiss company that specializes exclusively in the storage of physical precious metals in a high-security vault facility located in the St. Gotthard mountain massif in Central Switzerland. The Board of Directors and Executive Management of Elementum International AG have been selected solely based on their professional expertise and long-standing experience in precious metals markets. As these individuals may also be professionally active outside their roles at Elementum International AG, the company has no influence over their external activities and respects their right to freedom of expression. Therefore, the views expressed by persons working with or for Elementum do not necessarily reflect the opinion of Elementum International AG. Investments in precious metals are subject to risks, including those specific to the structure of this market. Please read our full risk disclosures and consult a licensed financial advisor before making any investment decisions. Neither the author, Elementum International AG, nor Elementum Deutschland GmbH assume any liability for actions taken based on the information provided. Past performance is not indicative of future results. The cover picture has been obtained and licenced from 123rf.com.
