Posts On Gold

Cut Out the Noise from the Financial Media

Investors currently have a lot to digest and the financial media hasn’t helped. Stocks are in melt-up mode as earnings thus far have been strong and as key benchmarks carve out fresh all-time highs. The dollar has also followed suit and could potentially be headed for another leg higher. Risk appetite is strong while market volatility continues to probe lower. Financial Media Hyping Gold Declines As far as gold goes, there has been considerable talk of how it has been “broken” technically. The 200-day moving... Continue Reading

Category |

Lower Prices Not to Be Feared

The gold market has been under pressure in recent days, and prices are trading at their lowest point of the year. Numerous “analysts” have already covered gold’s fall through support in the $1280-$1290 region and have suggested that lower prices may be in store. For the patient, long-term investor, this is a positive that should be welcomed. The notion of buy low, sell high is not new and has served investors well for ages. Are You Considering Lower Prices or Good Value? Long-term investors should... Continue Reading

Category |

Central Bank Demand for Gold Surging

Central bank demand for gold reportedly hit the highest levels in 2018 since the end of the Bretton Woods system of dollar convertibility in 1971. With some analysts referring to gold as some type of meaningless relic, this begs the question of why the biggest financial institutions on the planet are looking to acquire even more gold. Store of Value Gold has a very long history as a reliable store of wealth and value. In the post-Bretton Woods era and without a return to some... Continue Reading

Category |

6 Reasons We Could See a Weaker Dollar

As a dollar-denominated commodity, the gold market can be heavily influenced by strength or weakness in the greenback. Dollar strength may weigh on gold as it makes the metal relatively more expensive for foreign buyers, while a weaker dollar may boost the price of gold as it makes the metal relatively less expensive. The relationship between gold and the dollar, and all other paper currencies for that matter, is so important that investors often buy the metal as a hedge against a weaker dollar. Although... Continue Reading

Category |

Another Explanation for the Rise in Gold

The recent rise in gold has been widely discussed in financial media. There have been numerous issues attributed to gold’s rise including the U.S./China trade war, an increasingly-dovish Fed, a slowing economy and a rising risk of recession. One issue-albeit one you probably have not heard about yet-is the increasing risk of stagflation. The phrase stagflation was first used in Great Britain and today is understood to mean a period in which prices rise without a corresponding increase in demand. During a period of stagflation,... Continue Reading

Category |

How to Make the Most of an Investment in Gold

When it comes to making the most of an investment in gold, there is really one simple rule of thumb to follow: Buy as much as you can. With a long-term view and long-term objectives, the more bullion you can acquire the better. Not only does this strategy on how to make the most of an investment in gold provide the most upside appreciation potential, but it comes with other potential benefits as well. Higher Prices: Simple math tells you that the more gold you... Continue Reading

Category |

Gold Rockets Higher Despite Stock Rebound

Gold is climbing sharply higher today as an improving technical posture, weaker dollar and disappointing data fuel buying interest. In what seems to be a recent trend, the latest reading on ISM manufacturing came in below expectations. Although the reading was still solid, the slightly lower gauge could potentially point to weakening economic growth. Other key data points in recent weeks have also shown a tendency to come in slightly below consensus estimates, and if the recent trend does continue it could start to raise... Continue Reading

Category |

The Bottom May Be At Hand

Recent declines in the gold market have left investors wondering just how far the metal may fall before finding a bottom. Investors may not have to wonder much longer. The market could very well be at or near a long-term bottom, and price action over the next several days could be very telling. A possible bottom in the gold market could come at an interesting time. Stocks have been seeing some increasing volatility and a potential top in equities could also be in the works.... Continue Reading

Category |

Opportunity Knocks

The gold market has been on the defensive in recent weeks, and the selling pressure has remained fairly constant. In another recent post, the idea of a “bearish extreme” was discussed, as it is oftentimes a good time to buy when the rest of the world is selling. Eventually, that selling becomes exhausted, as there may simply be no one left to sell after long periods of declines. A very good potential clue that the market may be reaching- or perhaps has already reached-such a... Continue Reading

Category |

There Is Only One True Form of Money

There are numerous reasons to buy and hold physical gold. Of course, the potential for significant price appreciation is a major factor when investors make the decision to invest in gold. Although everyone likes the idea of buying low and selling high, the idea of a rising gold price is by no means the only-or even most important reason-to buy and accumulate physical gold. Of all the possible reasons to accumulate gold-such as to preserve purchasing power, to hedge against declining currency values and to... Continue Reading

Category |