Gold Trading » Archive for June 2009
Gold Outpaces Silver
Gold is generally considered a stronger investment, in terms of wealth preservation, than silver. In 1970, before the Nixon Shock – taking the US entirely off the gold standard – an ounce of gold was $37.40 compared to $1.60 for silver. During the inflationary 1970s, both gold and silver grew exponentially. Gold to nearly $600 and silver to $15.50 in 1980. Gold significantly outperformed silver in this era. Silver has lost around 1/3 of its value since then, while gold continues to rally. In 2008 it busted through $1,000 and currently sits above $900. … Read entire article »
Filed under: Featured, Gold Trading Update
Buy Gold Stocks
Many people wonder why they would buy gold stocks. The mining companies that one needs to investment are often heavily leveraged and with the credit markets in question still, does it really make sense? Like any investment there is significant risk in buying gold stocks. Most people do so because it is the easiest way to invest in gold. Others, recognize that an increase in gold prices is usually matched two or three times by the increase in mining companies. This is because of the increased speculation required when purchasing a company versus a straight commodity. But why gold at all? Anyone who has listened to the government recently knows that they are printing money hand over fist. This fiat currency cannot last, but while it does it will continue … Read entire article »
Filed under: Featured