
OUTLOOK FOR GOLD REMAINS CONSTRUCTIVE
Gold and silver are both higher this morning, as we await the decision of the Federal Reserve later today. Gold is trading up $1.40 and silver is up $.07. Both are well supported by a lower dollar, down 16 basis points and firmer oil, up $1.11 at $70.55 a barrel. The equity market has also recovered from yesterday's pullback, trading up 96 points on the Dow.
It is widely expected that the Fed will not change its policy statement and will indicate a continuing easy money policy and the intention to provide considerable liquidity to markets. They also will likely continue buying some form of Federal debt instruments in a further effort to provide liquidity to the financial system. If the Fed indicates that it will continue its quantitative easing program of printing money that should be positive for the gold market, according to Standard Bank analyst Walter De Wet. Last week the Bank of England announced it would continue its quantitative easing program and gold jumped $10. If the Fed follows suit, De Wet expects a bigger jump in the gold price.
On balance, the longer-term outlook for gold remains constructive. Yesterday, Merrill Lynch published its weekly metals report and stated, "We continue to believe that a revival in fabrication demand by late summer should drive the gold price to the $1,000 level by early to mid fall." Other prominent analysts have similar forecasts and expectations for gold.
Investors should be attracted to gold simply because of its phenomenal performance over the last nine years, in which prices have more than tripled. In the past 52 weeks, gold is up over 15%, while the Dow Industrials are down 21%. Even year-to-date gold has continued to outperform the Dow Industrials and some other equity market indices, up 7%. Consequently, investors should recognize that the fundamentals going forward are positive for gold with less supply coming to market and more demand. In addition the technical outlook looks quite good as gold is now entering the strongest cyclical period of the year.
Yesterday, Jim Sinclair a noted market analyst indicated that he thinks the world is moving rapidly towards a Super Sovereign Currency called the SDR. That seems to be a process that is well underway. He said that at some point, as the demand for dollars diminishes, the dollar will go into a free fall, which will produce an explosive up move in gold. He is targeting $1,224 and $1,650 on the upside.
Call Goldline today at 1-877-341-2646 for assistance in getting started with gold. They have all forms of gold and silver investments to meet your investing needs. Ask them about the Price Guarantee Program and for information on putting gold and silver into IRA and 401(k) rollover accounts. In addition, you should ask for the free information package, which has a tremendous amount of information that will be helpful to you in making investing decisions. The bulk of the information and article package come from independent third party sources who are highly regarded. There are articles that talk about the development of this Super Sovereign Currency called the SDR. Unbeknownst to most people, it is actually being used by the U.S. Postal Service and all major international airlines, and perhaps many others in commercial international transactions. We are including in the free information package a copy of postal service regulations, which set forth the requirement to price international postage in SDR's. The question for all investors is whether your savings will be safe from the process of devaluation, whether it is an informal ongoing process or formal devaluation. These are the things that gold helps you with. Call Goldline today at 1-877-341-2646 for the free information package.
Investors should ask Goldline to explain the features, benefits and cost structure of the various gold and silver investments that are available to you. Select those that best meet your own personal and individual investing needs and objectives. Investors looking for low transaction costs may wish to consider bullion assets such as American Eagles, Swiss 20 Francs, Krugerrands, Canadian Maple Leafs, Silver Bags or Silver Bars. However, the Price Guarantee Program is not available with these assets.
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.
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 an investment. Call Goldline at 1-877-341-2646 now to receive your free information package.
†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 Goldine's Account Agreement along with our risk disclosure booklet, Coin Facts for Investors and Collectors to Consider ®, prior to making your purchase. Goldline has a spread or price difference between our selling price, called the "ask", and our buy-back price, called the "bid". That spread varies depending on coin or bar you acquire. Spreads on 1 oz bullion coins, 90% silver dimes and quarters, and one ounce and larger bullion bars are 13%. All other coins have a spread of 28%. There is also a 1% liquidation fee when you sell your coins back to Goldline. 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 1-877-376-2643.

- S&P Capital IQ - Gold: $1,900 (in 2012) "Leo Larkin, metals and mining analyst at S&P Capital IQ, thinks that $1,900 gold might not be that much of a stretch [in 2012]. 'Gold has been ..."
- Citigroup - Gold: $2,300 - $2,400 (by end of 2012) "While we remain cautious on Gold in the near term...we continue to believe that the bull market remains intact...we believe that 2012 may be..."
- Leeb Capital Management - Gold: $2,500 - $3,000 (in 2012) "I'll give you my target for gold at the end of 2012, it's going to be trading somewhere between $2,500 and $3,000. This..."
- Global Hunter Securities - Gold: $1,800 (in 2012) "'What I am looking for is a gold price of $1,800 an ounce in 2012,' says Jeffrey Wright, senior research analyst at Global Hunter..."
- US Global Investors - Gold: $3,600 (by 2017) "'People get so caught up with the next three minutes for gold and they should really be focused on the next three years,' says Frank Holmes, ..."
- Goldman Sachs - Gold: over $1,900 (in 2012) "Wall Street investment bank Goldman Sachs predicts that gold's bull run will continue into 2012 with a low interest rate environment and..."
- CNBC - Gold: $2,400 (no period given) "Gold will top $2,400 an ounce. The long-term bull market in gold marches on. Gold won't make a straight shot to a new inflation-adjusted high. As long..."
- Nomura - Gold: $2,000 (by end of 2012) "Nomura has raised its forecast for gold prices to $2,000 an ounce by the end of 2012, from $1,800 earlier. The brokerage said the low-interest rate..."
- Morgan Stanley - Gold: $2,200 (in first half of 2012) "Gold will lead a rally in commodities in 2012 as Europe's sovereign-debt crisis continues to roil financial markets, spurring demand for ..."
- UBS - Gold: $2,050 average in 2012 "[Gold] remains one of the top commodity picks for 2012 as 'most of the factors that pushed gold higher in 2011 are not going away,' according to UBS..."
- Bank of America Merrill Lynch - Gold: $2,150 - $2,200 (average in 2012) "From a technical perspective we believe that the bull trend for gold remains intact… with gold having not yet met any of..."
- TheStreet.com - Gold: $2,500 (by May 2013) "I want to own gold here. I think gold is going to $2,500 eighteen months from now... Gold has been up for ten straight years and this going to be the..."


