Monday, June 3, 2013

Buy or Sell Gold, That is the Question.


I constantly see economists and investment advisors telling people that it is not time to sell gold.  They are suggesting you buy gold.  The arguments lead to the gold rate to reach well over $2,000.00 an ounce! 

The arguments are wide spread on when to buy and sell gold.  One argument is that gold is being mined and the demand is outweighing the supply.  They state that all the gold in the world would encompass filling a 20-meter room, 20 meters high.  Gold is costing $500.00 per ounce to mine and it could never go below $500.00.  The basic principles of economics sometimes do not apply.  If you disagree, please refer to the silver price and platinum prices.

The best argument that I agree with is that people are scared.  They do not have faith in the US Dollar and that the gold currency (If You will), is far more stable and the Federal Government can’t affect this value.  Yes, the argument that finds it self to be the most accurate is this. 

Where today would you invest your money?  Real Estate equals dangerous and the stock market scares everyone after all the corporate fiascos.  Don’t even think of taking cash and putting it under your bed!  The dollar is worth far less than it was four years ago.  It’s so bad the US lost its credit rating of AAA and now, the price on gold coins are even more than the gold rate!

Without getting into politics, we all want one thing; we want life to become stable again.  When we do become stable, there will again be faith in the US government, the budget will be balanced and the US dollar value will return to a real value.  When this happens, gold will also return to its real value.  I expect it to be somewhere around $400.00 to $600.00 per ounce.  When will these things happen?  I truly believe when we have a new administration that restores the faith in the US public.  Will this be a change to the party running it…we will see, but I will bet that precious metals will recover and gold jewelry will sell again because it has a reasonable price.

I think gold reached its peak in 2010.  It has dropped over 20% since then and I feel that people are becoming used to the difficulties life has dealt us.  This does not mean that the escalated value will drop; it purely means that I do not see any great increases.  The average person sees the market turn six months to a year after the investors.  Don’t get caught, sell gold now, the money you can make is tremendous. 

Check the precious metals and gold rates on our site below.  Save the link and check periodically.  It is not going up!  We are building a widget to check them right on your desk top.  Let me know if you would like for me to send you the widget.

Do you think the president can control the cost of gold?




Kevin Robbins    www.goldsolutionsoffortmyers.com

1 comment:

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