Sell your Gold while you can
Posted on Nov 26, 2009 by AuthorFor anyone who has been thinking about selling their gold, now might be the best time. The value of Gold is going to drop when the fed starts to raise interest rates.
What is the value of gold based on?
Gold has very few industrial uses. But its a rare metal, and has been used as currency for thousands of years. This fact and the fact that it can not be synthesized ( unlike diamonds ) gives it value. The recent rise in gold's value is not so much from lack of supply to an increased demand, but its more due to the rapid decline of the value of currencies. The US Dollar being at extremely low values, inflates the value of gold. This is why so many are putting their money into gold. But once Cbama raises interest rates, this will bring the dollar back up, and thus the price of gold back down. I predict that as this happens, you will see a spike in the stock market. As people leave gold before it drops back down to $500 / ounce, they will put their money back into the stock market. The same thing occurred back in the early 1980's.Sell your Gold while you can Categories
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