Precious metal spot prices are rebounding today, and it appears that more wise American investors are deciding to purchase gold after Russia recently commented that the world needs new reserve currencies. These latest comments have created significant weakness with the United States Dollar, especially since just a few days ago, several global finance ministers said that the dollar would remain as the primary reserve currency. Let’s face it, the USD has had a run for its money, and with trillions of overprinted dollars created in just the past few months, there really aren’t many wise countries out there who want to get their hand caught in this massive mousetrap. This being said, wise investors are now flocking to purchase gold in order to potentially hedge themselves from the dangers that the dollar faces at the moment. No surprise there. Aside from the dollar, global stock indexes may also make significant contractions in the near future, with several market analysts saying that further lows could be expected if inflation continues to grow along with uncertainties about the overall future of investment markets.
By around 12 PM Eastern Standard Time, the New York Mercantile Exchange is reporting higher safe haven demand as more Americans are deciding to purchase gold for both short-term profit and long-term wealth preservation, and currently the spot price of the metal is sitting at around $934.20 per ounce, increasing $6.20 or .67% for the trading day and also increasing $3.30 or .35% in the last 30 trading days.
John Halloran
Senior Gold Specialist - Buy-Gold.org
