"FLIGHT TO SAFETY" GOLD-BUYING

Gold is up $20 and silver is up $.30 in early trading after support held overnight. Support also came from stronger crude oil in anticipation of higher demand due to the fiscal stimulus in the U.S. There is also a good deal of "flight to safety buying" according to the analysts and a bounce from chart support for technical traders. Some short covering was also triggered early this morning.

Frank Lesh of Future Path Trading said, "There is still a push for safety in the market. When we get corrections in the gold, buyers come in." As we know, a number of analysts are forecasting gold will rise above $1,000 an ounce this year. UBS is forecasting gold will average $1,000, while Goldman Sachs also forecasts $1,000 an ounce and $13.75 for an average price on silver.

Some market participants who are looking for queues have been tracking U.S. Government debates over the proposed stimulus plan. There is also some concern about what Treasury Secretary Geithner will be saying about the bank bailout plan. I heard one analyst on CNBC this morning saying he sees inflation ahead and warns people to be protecting themselves from rising inflation pressures. One of the ways to do that is with gold or silver. Goldman Sachs analyst J.B. Were has said gold does well when the purchasing power of fiat currencies comes under threat. That threat is currently present in the form of government efforts to address the recession and financial crisis, which is likely to lead to printing of money and debasing of paper currencies. He also points out that the transfer of risk from governments bailing out banks raises the risk of sovereign debt default. After multiple devaluations of the Russian ruble, many are now worried that the sovereign debt of Russia will come into question. In fact some are worrying there could be a sovereign debt default by Russia. That would have significant consequences. We have only to think back to the Russian crisis that occurred in the recent past to recognize that would put considerable additional stress into the markets.

Again, these kinds of risks and the risks of competitive currency devaluations, the risks of protectionism, and geopolitical risks are all among the reasons that Merrill Lynch says that gold is a "no brainer." They are recommending gold for safety, diversification, purchasing power protection, and a hedge against the debasement of the currency and rising inflation pressures. This is the same logic that should be utilized by individuals in evaluating their own portfolio holdings. They are now saying that the new bank bailout may top $1 trillion in a combination of public and private funds. You can see the inflation on the horizon. The time for delay is long past; the time for action is now.

Call Goldline at 1-877-341-2646 for assistance in getting started with gold or silver. Some may wish to utilize Goldline's Price Guarantee Program, which provides a two-week window of opportunity to re-price your order in the event of a correction after you make your transaction. Others may wish to take advantage of the opportunity to receive free shipping. Which ever your choice is, Goldline can assist you. Goldline will also provide you with excellent information regarding a number of other topics that are very helpful and important in making decisions. Call Goldline today at 1-877-341-2646 for your free information package. Be sure you also ask for a free copy of the CD interview with Frank Barbera. He is a prominent analyst who has served as the technical analyst for several television stations, he manages a large investment fund, and he is well respected. Goldline is giving away a free copy of that CD interview which gives you his views on the economy for the coming year. Call Goldline to receive this information absolutely free at 1-877-341-2646.

Contact Goldline and ask them to explain the features, benefits and cost structure of the various gold and silver products that are available to you. Select those that best meet your own personal and individual needs and objectives. Those looking for low transaction costs may wish to consider bullion products such as American Eagles, Krugerrands, Canadian Maple Leafs, Silver Bags or Silver Bars. However, the Price Guarantee Program is not available with these products.

If you would like to take advantage of the Price Guarantee Program, which provides you with a two-week window of opportunity in which to re-price your order in the event of a correction, you must select assets with some collectible value such as 20 Francs, Double Eagles and Silver Dollars. Call Goldline at 1-877-341-2646 for further information on the Price Guarantee Program and how you may be able to receive free coins.

To receive the free information package, including articles on the dollar, the economy and gold, call Goldline at 1-877-341-2646. Goldline also provides several other helpful articles. There are a number of other independent third-party source articles that you will find extremely helpful and informative. You will also receive the Client Account Agreement, a company brochure and a Coin Facts Risk Disclosure booklet. Read these carefully before you make a purchase. Call Goldline at 1-877-341-2646 now to receive your free information package.

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This material has been prepared for private use. Although the information in this commentary has been obtained from sources believed to be reliable, Goldline does not guarantee its accuracy and such information may be incomplete or condensed. The opinions expressed are subject to change without notice. You should review Goldline's Account and Storage Agreement along with our risk disclosure booklet, Coin Facts for Investors and Collectors to Consider ®, prior to making your purchase. Goldline's spread, which is the difference between the price we sell our products and the price we buy them back, generally ranges between 5% to 20% on our most common bullion products and 30% to 35% on all other products including our popular European francs, proof coins, silver dollars and half-dollars, and graded coins. The market must go up enough to overcome this spread before an actual profit is achieved.  Precious metals and rare coins can increase or decrease in value.
Past performance does not guarantee future results. Coins are a long-term, three- to five-year, preferably five- to ten-year investment. We believe precious metals are suitable for 5% to 20% of the average investment portfolio though others may recommend a different percentage. To receive free information package on gold and precious metals investing, call Goldline at 1-877-341-2646.
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