Posted by Adam King on August 21, 2009
Economic Growth – Slower Than Expected
August 21, 2009 – Certified gold prices have increased considerably today as the United States Dollar Index slumps down to a two-week low based on growing speculation that the United States economy may be one of the last countries to see an economic recovery. The latest economic data has shown that German and French manufacturing has expanded significantly this quarter while United States manufacturing is contracting, further proving that other nations may have a head start with economic growth. According to several market analysts, certified gold prices might continue being supported by a weaker United States Dollar that may see further instability down the road, especially if the Federal Reserve decides to increase interest rates before year’s end. These market analysts are predicting that higher interest rates before a true economic recovery could mean serious problems for dollar-backed assets like stocks, bonds and real estate. Fortunately, if paperbacked investments experience instability in the near future, certified gold coins and other popular safe haven investments may thrive as they have done in the past.
By 10:45 AM Eastern Standard Time, certified gold prices are increasing side-by-side with the spot price that has officially surpassed its short-term resistance level, currently sitting at $953.50 per ounce, increasing $12.70 for the trading day and also increasing $4.50 in the last 30 trading days. Short-term projections are forecasting that the spot price may climb up to $970 per ounce by next week if the United States Dollar Index continues facing instability.
Senior Staff Writer – Certified Gold Exchange
US Gold Market