According to the Associated Press, Gold has risen today due to prospects that the US Federal Reserve may make an attempt to stimulate the United States economy. Such a move may dramatically boost the gold bullion’s value as it would hedge against inflation.
The news comes on the heels of a troubling US economic growth data and meaning the Feds may extend “Operation Twist” beyond its June deadline. The operation is a bond-buying scheme that supposedly would ease the financial pain via quantitative easing.
Gold is now at $1,620 and it is expected to rise in the very near future. This makes it a perfect opportunity for gold buyers. In February of 2012, gold jumped to its highest level ever at $1,790 which means that there is quite a bit of room for gold’s worth to rise in the coming months and years.
According to industry experts, if the market reacts well to the Fed’s news gold should move toward $1,650 and beyond; however, if the Fed disappoints, gold may fall to $1,530 at worst level, yet. For those who expect the worst prices, it is possible we will see record gold sales in the coming days.
Another factor that may greatly affect the gold prices, is the European Union summit to occur next week. Jewelry buyers and gold buyers will be watching closely as European entities work to better their financial positions.
Not only will gold be affected by the coming announcements and events. Those who buy and sell silver and diamonds will see their investments fluctuate as well.
While there are no certainties, many experts are putting their bet on increased precious metals prices in the coming weeks. This is why it may be extremely beneficial to buy gold in the near future.
Without a doubt, we sit at an amazingly interesting and somewhat terrifying time in history. It is very probable that individuals will be able to come out ahead if they keep informed on what the Fed and other regulatory bodies are doing to stimulate their economies.
Stay tuned for more news on gold, silver, platinum, and diamonds in the coming days/weeks!