March 12, 2020 - (Gold Market Wire) - Another day - another 5% overnight loss for equities. Corona Virus is sweeping the planet and people are starting to talk about a scramble for liquidity, and termination of revolving credit facilities. Not a good sign. The world runs on credit. Talk of serious European banking problems are emerging amongst traders.

Gold is being pressured by some of the charge for liquidity, but so far has avoided becoming a true casualty of the general market condition. Its hanging in after touching the 20-Day Moving Average this morning.

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The question could be reasonable floated - what happens when Gold starts to become real liquidity? Its happened before.

If its unencumbered and out of the banking system, people can gain access to it and exchange it. That's more liquidity than a closed ATM can give to the general public. And it is the scramble by the public that will set the Gold price alight. The extraordinary madness of crowds, as it has been tagged, is especially given to the world of 'gold fever'.

It remains highly interesting in a world scrambling for liquidity, that Gold hasn't really been part of the liquidation.

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The morning out of Asia brings the first digestion of the USA-travel ban of EU originated flights, soon to be extended to other parts of the world.