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June 8, 2009 - The majority of gold investments are showing minor decreases in value today as a direct result of the United States Dollar Index gaining as much as 1% after adding 1.7% last Friday, the most since February. As you may already know, gold investments typically trade inversely to the dollar, and that is exactly what we are seeing with today’s movement. Stock indexes on the other hand also seem to be declining today as investors are shifting away from them after the Federal Reserve mentioned that they would increase interest rates before the year’s end if the financial crisis began to show signs of receding. Short-term market projections are saying that gold is on a teeter totter that largely depends on economic sentiments, yet if inflation grows and the Federal Reserve increases interest rates yet again, we could see fluctuation similar to what occurred in the late 1970’s, when the spot price of the metal increased more than 800% in a two year period. This being said, don’t hesitate to begin gold investments today if you feel that you could benefit by owning one of history’s most preservative assets.

By around 3:10 PM Eastern Standard Time, the majority of gold bullion products are decreasing in value while several investment-grade rare coins are holding on strong despite the current spot price falling to $950.10 per ounce, down $4.50 for the day yet still up $33.90 in the last month and also up $47.90 in the last year.

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Arthur McGuire

Senior Staff Writer - Gold-Investment.info

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