Why invest in gold
Why invest in gold because gold is a safe investment in times of uncertainty in the light of political turmoil or economic, financial or investment, in addition to disturbances exchange markets, a way to caution against inflation and against the weakness of paper currencies and a significant drop in interest rates. Souselt and gold prices to 1822 dollars on 18.08.2011, the profits of gold exceeded the returns of most other investment instruments during the year and the last four years, while offering his investors in capital markets and real estate markets and some other assets to shocks and losses.
The price of gold has benefited from the negative effects of the global financial crisis and the problem of sovereign debt, whether in Europe or the United States and the cycle of high gold began in 2008 when exceeded the price barrier of $ 1000 per ounce for the first time the beginning of the debt crisis of the European gold jumped to $ 1400 in 2010 and the explosion of a bomb reduction credit rating of the United States the largest economy in the world and the most important international currency led to a rise in gold price to 1822 dollars on 18.8.2011 m so sat this gold on the throne of the Kingdom of safe-haven assets due to exposure during the last ten years for any severe blows or corrections painful and this rise continuous in prices contributed to expanding the base of investors and speculators for gold which exceeded their purchases of gold consumer purchases for the first time in three decades at the global level, especially after the establishment of several funds, gold in circulation and which has become the sixth largest owner of gold in the world after the central banks in addition to purchasing through exchanges futures contracts, investors in gold have achieved returns of 15 per cent in 2010 and returns 25% in 2009 while the price this year by 22% and the demand for gold by central banks during the first half of this year exceeded demand in 2010 as a whole in light of its policy increase the assets of gold Reserves instead of foreign exchange, which is exposed to vibrations sharply in price in light of uncertainty about developments in the global economy and the fear of the negative effects of the debt crisis of Europe and America on the performance of the global and the concern of investors to cut credit ratings for other European countries, particularly France.
There is no doubt that the statements by the President of the U.S. Federal Reserve continued to reduce the interest rate for two years at least another to help the U.S. economy which is growing at a rate weaker than expected also contributed to rising demand for gold in the hope of capital gains from higher price together with the statements of the Federal Reserve to resort to more to facilitate monetary policy, which of course also lead to the devaluation of the dollar.
And the varying expectations of investors and speculators during the year of the causes of fluctuation of price Optimists see that the cyclical upturn will continue in light of expectations of a recession or a global economic slowdown and the continued uncertainty in addition to the reduced credit rating of the United States and expectations of reduced ratings to countries other important open for the unknown, as political turmoil global fuel factor uncertainty and the high level of uncertainty with the expectations of a further decline of the dollar exchange rate while still pessimistic that the cyclical upturn may end at any moment after the record rise in prices since gold has also cycles up and down, especially if improved performance of the global economy was resolved sovereign debt problems which may take a period of time is short, and the bursting of the bubble may cause heavy losses for investors who rode the bubble at the height of rise
Why invest in gold because gold is a safe investment in times of uncertainty in the light of political turmoil or economic, financial or investment, in addition to disturbances exchange markets, a way to caution against inflation and against the weakness of paper currencies and a significant drop in interest rates. Souselt and gold prices to 1822 dollars on 18.08.2011, the profits of gold exceeded the returns of most other investment instruments during the year and the last four years, while offering his investors in capital markets and real estate markets and some other assets to shocks and losses.
The price of gold has benefited from the negative effects of the global financial crisis and the problem of sovereign debt, whether in Europe or the United States and the cycle of high gold began in 2008 when exceeded the price barrier of $ 1000 per ounce for the first time the beginning of the debt crisis of the European gold jumped to $ 1400 in 2010 and the explosion of a bomb reduction credit rating of the United States the largest economy in the world and the most important international currency led to a rise in gold price to 1822 dollars on 18.8.2011 m so sat this gold on the throne of the Kingdom of safe-haven assets due to exposure during the last ten years for any severe blows or corrections painful and this rise continuous in prices contributed to expanding the base of investors and speculators for gold which exceeded their purchases of gold consumer purchases for the first time in three decades at the global level, especially after the establishment of several funds, gold in circulation and which has become the sixth largest owner of gold in the world after the central banks in addition to purchasing through exchanges futures contracts, investors in gold have achieved returns of 15 per cent in 2010 and returns 25% in 2009 while the price this year by 22% and the demand for gold by central banks during the first half of this year exceeded demand in 2010 as a whole in light of its policy increase the assets of gold Reserves instead of foreign exchange, which is exposed to vibrations sharply in price in light of uncertainty about developments in the global economy and the fear of the negative effects of the debt crisis of Europe and America on the performance of the global and the concern of investors to cut credit ratings for other European countries, particularly France.
There is no doubt that the statements by the President of the U.S. Federal Reserve continued to reduce the interest rate for two years at least another to help the U.S. economy which is growing at a rate weaker than expected also contributed to rising demand for gold in the hope of capital gains from higher price together with the statements of the Federal Reserve to resort to more to facilitate monetary policy, which of course also lead to the devaluation of the dollar.
And the varying expectations of investors and speculators during the year of the causes of fluctuation of price Optimists see that the cyclical upturn will continue in light of expectations of a recession or a global economic slowdown and the continued uncertainty in addition to the reduced credit rating of the United States and expectations of reduced ratings to countries other important open for the unknown, as political turmoil global fuel factor uncertainty and the high level of uncertainty with the expectations of a further decline of the dollar exchange rate while still pessimistic that the cyclical upturn may end at any moment after the record rise in prices since gold has also cycles up and down, especially if improved performance of the global economy was resolved sovereign debt problems which may take a period of time is short, and the bursting of the bubble may cause heavy losses for investors who rode the bubble at the height of rise
No comments:
Post a Comment