Certified Gold Investments
Posted by Adam King on November 03, 2010
November 03, 2010 – While market analysts and pundits are running in circles trying to explain curious movement in the markets, investors in certified gold coins have a pretty good idea what is really going on. Their gold investment strategy is simple wealth preservation through perilous economic times, shielded from government intervention and hedged against the threat of confiscation.
The global economy may be in shambles, but we’re on the road to recovery, right? Wrong. One dire situation that few are talking about threatens to ignite a global depression.
Nations around the world, including America, are initiating policies to combat faltering currencies and lethargic production, policies which have brought us to the brink of a global currency war. The IMF/World Bank takes the problem very seriously and recently convened a meeting of financial leaders to resolve the problem. However, no agreement was reached.
The root of the problem is that domestic pressures have governments looking for a quick fix, and that typically comes from devaluation of currency. In the short term weaker currency drops the price of domestic goods abroad, increasing exports and creating jobs. But it backfires when nations throughout the world opt for that approach and all hell breaks loose. The measures nations take to protect their economies from artificially low priced imports could quickly bloom into a global trade war, dragging the world down into another Great Depression.
Surging gold investments testify to the general lack of confidence in the economy and to expectations that the dollar’s decline will continue, but many believe that bullion could be at risk. In the midst of a trade war the existence of vast reserves of publicly held gold might be too big a temptation for a government on the brink of collapse. Certified gold coins offer the best protection possible against government confiscation your gold investment.
Stewart Lawson
Senior Staff Writer – Certified Gold Exchange
Categories:
US Gold Market