CertifiedGoldInvestments Posted by James Randolph on April 14, 2009
Risk Markets Or Safe Havens?
April 14, 2009 – During the midday trading hours, several safe haven assets such as certified gold investments are decreasing in value despite a small rally that occurred yesterday based on the fact that many Americans believed that the recession would continue to get progressively worse. Today, there is some increasing speculation that the United States economy could rebound sooner than expected, and this is creating a sentiment change that is boosting the risk appetite in equity markets as opposed to the safe haven demand for precious metals. We have been seeing this tug of war between optimistic and pessimistic investors for over a year now, the question is, who will prevail? Since 2001, several stock indexes have fallen more than 50% as the United States slowly began to spiral down into the recessionary cycle we are in today, but if we compare this to certified gold investments that have increased more than 300% since then, it’s easy to see what could be the reigning investment class during 2009.
Certified gold investments are continuing their small fluctuation along with the daily market spot price of the metal that hasn’t shown strong direction in over three weeks, and it is currently trading at around $890.80 per ounce, down $1.80 or .20% for the trading day and also down $38.60 or 4.15% in the last 30 trading days. It’s crucial that wise investors understand the difference between risky assets and safe haven assets during this financial crisis, and above all it’s always a good idea to diversify correctly in the event that things get better or worse.
Senior Staff Writer – Certified Gold Exchange