Demand for physical possession for safe haven metals increased substantially today, as evidenced by the large number of investors who are buying gold bars and other physical gold assets. Investors from around the nation have decided to buy physical gold instead of derivatives because the physical aspect of these investments creates an extra layer of security from the weakening US dollar, floundering interest rates for cash accounts, and shaky stock indexes.
For most investors, buying gold bars has been reserved for a time when they feel that problems with our economy will worsen. This is without a doubt our present situation, because our dollar is at a 13-month low against a basket of other major currencies and our economy has contracted at a dangerous rate over the last few years. Financial analysts fear that we could be at the beginning of a long-term depression caused directly by excessive printing of currency and the troubled state of big business.
Some investors have been influenced by Wall Street economists to the point of believing that our economy may recover within the next year, but many others feel that our nation must plow through a stagflationary period before we can even begin to imagine what a light at the end of the tunnel might look like. Buying gold bars and other types of physical gold could be a wise move to combat inflation or the collapse of our economy, and history has proven that physical gold is a suitable opponent for these financial monsters that crave to devour all of our hard-earned wealth.
At 5pm EST, gold bullion bars are up slightly for the trading session, and economists have predicted that investors will keep flocking to safe-haven assets throughout these unstable times. The spot price has climbed to $1076 today, which is a 0.2% gain for the day and this number represents a 12.8% gain in the last month.
Steven Martin
Senior Gold Specialist - Buy-Gold.org
