October 19, 2009 Posted by James Randolph on October 19, 2009
October 19, 2009 – Monday’s certified gold coin prices remained largely unchanged from Friday’s values, due in part to strong US stock index performances this morning. The Dow Jones Industrial Average(DJIA) is approaching 10,100, and that index is up 1.3% today. The Nasdaq index registered a gain of 19.52 and the S&P 500 market is up 10 today. Gold’s spot price rose 1.08% today, and the current value of one ounce of Commodities Exchange(COMEX) gold is $1064.80. The gold spot price pulled back somewhat during the weekend, but many brokers thought that the profit taking would be on a much larger scale than it was. While some economists are still calling for a correction of $50 or so, the vast majority of US analysts believe that gold could easily surpass the $1100 per ounce mark that so many investors have whet their appetites for. While above-$1000 spot prices are better than the dormant spot prices that were seen when the government was pouring money into American securities, many investors have expected these numbers for quite some time. Our government’s relentless spending spree has sparked international outcry, and many investors fear that the dollar will become insolvent if our debtors no longer accept the greenback as a global trade currency.
Some of these investors have decided to purchase silver and gold bullion, which could increase in value as deflation sucks the life from dollar-based assets. Other investors have opted against bullion bars and coins, which are traditionally used by day traders and short-term investors. Rather than seeking a mere hedge against inflation, some investors are looking for palpable security and protection for the wealth that they have already accumulated. These investors are not looking to score a quick profit, nor do they want to babysit their gold investments daily. Certified gold coins like the $5 Liberty Head and the $20 Saint Gaudens have outpaced the growth made by gold bullion during the last two years, and long-term investors prefer these types of coins to bullion products because certified coins maintain their status as a government non-confiscatable asset, while gold bullion does not. Confiscation guidelines, risk to reward ratios, and the security power of gold are discussed at www.Gold-Investment.info, where investors can take advantage of an award-winning, free tutorial provided by the Certified Gold Exchange.
Senior Staff Writer – Certified Gold Exchange