Gold continues its
upward march today, reaching a high of $1,095.20 before easing back to a $3
gain. Silver reached as high as $17.53
and is trading close to that, up $.08 at $17.48, all on the December
contract. The metals are up in spite of
the fact that the dollar rebounded, up 6 basis points and oil is down
$.45. The Dow Industrials gaining 123
points, as the stock market was encouraged by the Fed's statement. Analysts are also saying that the Federal
Reserve statement yesterday opened the door for gold to continue its upward
march as they indicated they would continue their accommodative policy and keep
interest rates near zero.
Dow Jones Wire
Service said: "Comex gold up as technical momentum maintained." They quoted Steven Platt saying: "The market
seems to be trending higher and seems to have the momentum in its favor, as
long as we don't get any major movement to the upside in the dollar." They also reported: "December gold hit a
peak of $1,098.50 an ounce in late Wednesday screen trading, a fresh record for
Comex most active contract, after a statement from the Federal Open Market
Committee indicated interest rates will remain at historically low levels for
an extended time. Analysts at the time
said this portended further dollar weakness and the longer interest rates
remain low, the greater chance of eventual inflation down the road." They also pointed out that the expectation
of longer-term inflation expectations and expectations for a weaker dollar are
forcing a move into hard assets globally as a form of diversification and "gold
is certainly one of the prime beneficiaries."
In a Dow Jones News
Wire column by Al Lewis, Mr. Lewis said: "I wish I had an ounce of gold for
every time somebody told me an ounce of gold was a dumb thing to buy. I wish I had listened to Pierre
Lassonde. I first wrote about Lassonde
in August 2003 when gold prices soared to a then unthinkable $375 an
ounce. Lassonde told me he had 60% of
his liquid assets invested in the precious metal and claimed it had no where to
go but up. By up, he meant, $500,
$1,000 and then maybe $6,500 an ounce.
One thing I know for sure is that gold is going to have three zeros
after the first number he said." Lewis
also wrote that more recently Lassonde said: "Gold could even triple from
here."
So where does
Lassonde think gold will go from here?
Lewis writes: "He believes it will settle when the Dow Jones Industrial
Average and the price of gold are at a 1 to 1 ratio. It's currently trading at roughly 10 to 1 ratio. So how much will the Dow fall versus gold
rise to meet this prophecy? That's the
unanswered question Lassonde said." He
further commented: "If China develops a mania for gold ...' we will see prices we
cannot even imagine."
If you believe that
Mr. Lassonde, who has headed two of the largest gold mining companies in the
world and the World Gold Council is someone who knows a great deal about the
gold market, you may wish to be accumulating gold at these levels. If so, call Goldline at 1-877-341-2646 to
get started. You might also want to ask
for the free information package, which contains excellent information on gold
forecasts, the dollar and other important items. Be sure to ask for the article from Forbes Magazine written by
Congressman Ron Paul. He is warning of
the potential for hyperinflation in our country. You should read that article carefully. Call Goldline now for the free information at 1-877-341-2646.
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,
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 on gold investing call Goldline at 1-877-341-2646. 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 gold investment package.
You should carefully read Goldline's Account and Storage Agreement and our risk disclosure
booklet, Coin Facts for Investors and Collectors to Consider. These provide important
information that you should consider before investing in precious metals. 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 semi-numismatic coins such as the European francs, proof
coins and graded coins. The market must go up enough to overcome this spread before an actual
profit is achieved. All markets go up and down. 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 portfolio though others may
recommend a different percentage. Please see Goldline's risk disclosure materials for additional
information.
Charts
