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Why Gold And Silver Seems To Be A Good Investment At This Moment In Time

Do you believe we are in a gold and silver bubble? The pundits who have come out in the media and Internet lately would have you think so. It seems that the experts are not troubled with current events or what history is telling them. Will the prices of gold and silver keep going up relentlessly? Of course not, it will follow it natural course of moving higher and retracing before moving higher again.

Those that contend that it is not an opportune time to be investing in gold and silver take the position that the metals have increased in price to a point were that its is not sustainable. They do not take into consideration that the recent rise was mirrorer by a comparable drop in the US dollar which signifies that gold ans silver are acting as they should be as protectors of purchasing powerThis past week the first shot across the bow in the currency devaluation wars was fired by Japan Similarly, the Federal Reserve is planning to reveal quantitative easing part deux These fancy terms mean nothing more that worldwide they are cranking up the printing presses to fight the debt unwinding and re-start the stagnated economies This is the type of circumstances that gold ans silver are sound investments. As investors lose confidence in fiscal an monetary policies appetite for investing in gold and silver increases.

A dollar in 1913 when the Federal Reserve was created is valued at a measly penny. Gold on the other hand has maintained it’s purchasing power. It is almost certain with current policy today's dollar will be worth substantally less in ten years, whereas gold and silver should continue to do well..

Investors have choices, you can park you wealth in cash an pray that the unrelenting money printing finally ends. Purchase government or corporate bonds, which derive their value from the good faith of the issuer and we have see many cases where that is not worth much. Bonds real returns are negative after inflation since the interest rates are so low Buying stocks is another option if you like riding roller coasters and are aware that your wealth can disappear overnight Stocks are simply pieces of paper that get their value from the fact that someone is willing to pay you a certain amount for your shares. They have no intrinsic value and someone can pay you 90% less tomorrow, if that is what the perceived value is. You may receive a small dividend for holding the paper, but in most case it very little.

Finally, you can seek safety by investing in gold and silver Since they are tangible metals that have always have been regarded a storage of value and maintained their purchasing power. I think that the conclusion is a no brainer and the participants of the gold markets have been casting their votes.

By: Ira Braun

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I have been trading the markets for many years and enjoy writing articles about Investing in Gold and Silver And Related Topics. Please check out my other articles Investing In Gold And Silver

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