Gold Price Over $700 By Year End!
Gold prices may peak in the first half next year driven by rising demand for luxury goods in India and China, according to Westpac Banking Corp. Gold for immediate delivery may trade above $700 an ounce at the end of this year, Huw McKay, senior international economist at Sydney-based Westpac, said in an interview May 17. Gold has averaged $659.34 so far this year after reaching a 26-year high of $730.40 last May.[tags] gold, spot gold price, gold nuggets, gold mining, gold prospecting, gold hunting[/tags] San Diego hotels
Gold vs. Stocks – Which is Best?
From 1982 to 2000, equities were up 1400%, while gold was in the midst of a grueling bear market. Yet from 1971 to 1980, equities were in the grasp of one of the worst equities bear markets, yet gold was up 2300%.
From the bottom in 2000 to today, the Dow is up 15.5% and from 2002 to today, it's up 88%, which is not bad. But compare that to gold for the same period. From 2000 to today, gold is up 136% and from 2002 to today, it's up 164%. Add to that that this current stock bull is getting long in the tooth, while gold just came off a 22 year secular bear market in 2002 and is only 4 years into a secular bull market. The current cycle right now favors gold.
You see, people get married to an asset class and stick with it come hell or high water. That's the approach of an amateur. Pro's go where the money is being made. They know that all asset classes go through cycles and they move their money accordingly.
During times of economic upheavel, gold is a store of wealth and will be readily accepted. For example, during the Post WW1 German hyperinflation, people didn't want marks, they were worthless. But, they readily accepted gold as payment for goods and services.[tags]gold, gold nuggets,gold price, spot gold price, gold investments, gold mining, gold specimens[/tags] copper nuggets
Gold price in bear markets
Gold should do well in extreme bear markets. Silver more than doubled in value from 1932 to 1936 during the Great Depression (the price of gold was fixed by the government). The next long bear market was 1968-1980. Silver rose from around $2 in 1968 to a peak near $50 in 1980.
Gold & China
The total sales of gold and jewelry last year in China were valued over 140 billion Yuan, exports were valued at US$5.49 billion, and China has become the third biggest consumer of gold in the world, according to Cheng Fuming, the head of China Gold Association. [tags]gold,gold purchases,china,gold consumer,gold nuggets[/tags] crystalline gold
