5 Top Reasons To Invest In Gold Today
October 6, 2010 71 view(s)
With the current state of our financial markets still in disarray the investing world is rapidly moving towards gold as a solid investment vehicle. In the past year gold has increased in value by 25% and the future looks bright as the price of gold in any form continues to climb. When you stop to realize that in 2001 gold was selling for $258 per troy ounce and is currently selling for over $1,300, it is easy to see why it can be a good investment. Here are five of the top reasons that the price of gold has soared and is expected to continue to do so.
- Major central banks like those of India and China have announced recently that they have more than doubled the amount of gold that they are keeping in reserve. In China television commercials are telling citizens to buy gold, even Russia is becoming a heavy buyer of gold.
- With recent moves by the Federal Reserve to keep interest rates down to near zero on money markets, more investors are switching to precious metals as more people look to them as a less risky form of investment. While still in the early stages of movement, there are over $1 trillion in these funds poised to move to precious metals if things do not improve significantly.
- The continuing skyrocketing price of gold. Anyone who invested $100,000 in gold in January of 2000 has seen it rise to be worth approximately $375,000 in just ten years. Precious metals such as silver and platinum have done the same, exhibiting remarkable profits in the last decade and all are poised for an even better decade to come.
- When you look at what has happened on Wall Street where brokerage houses have gotten ever richer while taking their investors to the cleaners, more people are turning to precious metals such as gold as real holdings rather than counting on paper such as stocks and bonds in which they lost billions. You can easily see why so many investors are switching and why the value is expected to continue to rise.
- Gold is the perfect form of stealth investment. If you could see inside thousands of safety deposit boxes, private safes and hidden places in many homes, you would find that Americans have been quietly storing gold away for decades. Looking at the current price of gold, it is as it has always been the perfect investment vehicle and unless the economy does a complete 180 degree about face is expected to continue to outperform all other forms of investment.