Certified.Coin.Projections Posted by James Randolph on May 06, 2009
Risk Aversion Rally
May 6, 2009 – The risk aversion rally continues today as masses of American investors are beginning to purchase gold bars and coins in order to protect themselves from a deeper recession that may lie ahead, and this is causing several of the latest certified coin projections to show a more bullish outlook for the more popular investment-grade rare coins. Many market analysts feel that gold will continue to increase in value significantly as it has done since 2001, thus their certified coin projections are showing coin values that could only be seen with a spot price in the area of $1100-$1200 per ounce. Although several investors may think that these projections are a bit speculative, they need to take into consideration the risk aversion and flock to safety that would occur if United States banks began to collapse after the upcoming government stress tests. Preliminary results are already showing that 10 out of 19 banks may need more capital in order to survive a deeper recessionary cycle. What would happen if the government couldn’t bail them out this time?
By around 12:50 PM Eastern Standard Time, both bullion and several investment-grade certified rare coins are increasing in value as the daily market spot price of gold climbs to $908.70 per ounce, up $12.80 or 1.43% for the trading day and also up $33.10 or 3.78% in the last 365 trading days. One of the main drivers of spot prices at the moment seems to be the United States Dollar, so it’s important that we track the index in order to potentially determine whether or not the latest certified coin projections will become a reality.
Senior Staff Writer – Certified Gold Exchange