Spot Gold Price … Long Slow Rise is Best Bet
gold nugget
A long slow price rise in gold is the best scenario for anyone who holds precious metals. That being said, it is inevitavble that there will be volatility and it is impossible to predict when large swings either way will take place. I would not want to be out of the gold market at any time during the next several years.
Today’s most relevant gold investment question for readers of this thread is not “whether” to hold gold, but, “how much” as a percent of one’s investment portfolo. I have heard recommendations of everything from 10% to 80% of one’s portfolio. I tend to believe in the high end (although it is not 80%). Perhaps more relevantly is how to split between physical, PM ETFs and similar, and mining stocks. My personal thinking on such a split, is about 50%, 25%, 25% respectively. Yukon gold nuggets
As mutual funds and pension funds purchase ETF’s like IAU and GLD, the fund companies must also purchase gold as the asset which backs the value of the ETF’s. Thus, the price of gold rises with continuing demand from ETF and closed end fund companies whose net asset value (NAV) depends on the value of gold.
Crystalline gold leaf
Investors see the decline in the value of the US dollar as a harbinger of inflation. Gold acts as a hedge against inflation because of its property as a store of value as opposed to currencies like the US dollar. Thus, as inflation rises, people buy gold as a hedge against inflation and, ultimately, the decline in the value of the currency.
Crystalline gold nuggets
To see the ‘live’ spot NY gold price and some museum size gold nuggets I suggest you visit a great site I found a few months ago. I purchase a few nuggets from them just about a month ago, and not only are they beautiful to look at but in just the last few weeks they have really moved up in value!
I’m actually saving to purchase others!
The site is: http://www.california-gold-rush-miner.us
Gold Nuggets