Gold is racing towards $1000 per troy ounce an amazing early September run. Silver is matching that run going up $16 per troy ounce. Now, don't look for either to sustain these highs. However, the floor isn't going to drop out either.
Clearly investors are quickly losing, assuming they ever had it, confidence in the central banking system and the current administration. The constant talk of health care, cap and trade and now a tax on traders, is fueling this doubt and creating even greater concern about the health the dollar. Toss in the fears of a jobless recovery and what we have are jittery investors running towards gold.
So what does this mean for the common gold investor? If you are heavy in gold snag some profits, if not hold off buying. Wait for the correction which could come anytime and then jump in. The price will go back to somewhere between $950-900 mostly because the demand for gold jewelry is not there. But, as the economic troubles continue, unemployment hitting a 26-year high, gold will continue the climb upward.
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