1 vote

A Pivotal Point for Gold and Silver Prices

Pointed out by SilverCoinsNews

By Barry Stuppler, Thursday, February 21, 2013


On Friday, February 15, many of the financial commentators on CNBC and CNN expressed their opinion that the twelve year track record of gains for the Gold price was over, for the following reasons:

"Investors are switching out of Gold into stocks for growth and income.
* There is no inflation, and investors have no reason for owning Gold.
* The U.S. economy is recovering, easing pressure for more monetary stimulus.
* Investors like George Soros are reducing their core holdings of Gold.
* World demand for physical Gold dropped 4% in 2012."

I have heard similar arguments about Gold in the past. In 2006, Gold hit $725 on May 12, and five months later Gold declined to $560.75 per ounce (22.66%). At that time the majority of financial news commentators and market analysts continually said that the Gold run was over and wrongly predicted it would break $500 on its way back to $375. Many of my Gold clients called me in 2006 worried about losing their five years of Gold profits; as a 40+ year precious metal specialist I shared my bullish opinion.

Again in 2008, Gold hit $1,011.25 on March 17, and seven months later Gold declined to $712.50 per ounce (29.54%). Again the majority of news commentators and financial analysts on CNBC and CNN said that the Gold run was over and again wrongly predicted it would decline, this time to $600 per ounce.[...]"

Read on:


Trending on the Web