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Thursday, August 6, 2009

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US Mint Gold and Silver Bullion Sales July 2009


During the month of July, sales of physical bullion at the United States Mint were somewhat split. In the case of silver, sales as measured by the number of ounces sold reached the second highest level of the year. In the case of gold, sales as measured in ounces marked the second lowest total for the year.

The table below displays the number of ounces of gold bullion sold by the United States Mint during the month of July. As the case has been all year, sales were limited to one ounce American Gold Eagles and one ounce American Silver Eagles. Platinum bullion and fractional gold bullion coins were not offered.

July 2009 US Mint Bullion Sales
1 oz. 1/2 oz. 1/4 oz. 1/10 oz. Total oz. YTD Total oz.
Gold Eagle 86,000 - - - 86,000 756,500
Silver Eagle 2,810,000 2,810,000 16,634,500
Platinum Eagle - - - - -

Sales of the Gold Eagle reached 86,000 ounces. As mentioned, this represented the second lowest monthly sales total this year. The low of 65,000 took place in May. It should be noted that the level of sales still remains above the monthly total reach one year ago in July 2008 when 50,000 ounces were sold. Although the furious pace of gold sales has slowed, it remains historically high.

Sales of Silver Eagle bullion coins reached 2,810,000, marking the second highest monthly total of the year. The highest level was reached in March when 3,132,000 ounces were sold. This month's total represents a hefty125% increase over the sales levels from the year ago period. Notably, the number of ounces of silver sold year to date is now approaching the total number of ounces sold during the entire year of 2008, which was 19,583,500. One more month of strong sales would push this year's total above the mark.

Sunday, August 2, 2009

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Silver and Gold Investments

During a bad economy, especially when major banks fail, the first thing that comes across many minds is to cash out on all investments and hide your hard-earned money under your mattress or a safe within your home. Savvy investors do the exact opposite. Smart investors will keep their money invested and some will even invest more money in the market. In today’s market, even the savviest investors are very concerned about their investments, even in the silver and gold markets.

The dilemma of financially stabilizing the world economy is usually met with the fiscal Establishment printing more money, Euros and dollars. Freshly printed money that does not purchase the desire of the government, causes inflation and will continue to do so until people reject paper money. Savvy investors believe that until there is official use of gold and silver in the global monetary system our international financial system will never stabilize.

Investors have many reasons why they are leery concerning precious metals especially in the middle of a financial crisis. Silver is not always thought as a metal of monetary means anymore, therefore it is not purchased as such. Fortunately insightful financial investors believe they can use gold and silver, not for profits, but for barriers to protect against depression and inflation, plus they do not want to miss an opportunity to achieve greater profits in financial slumps. Even with studies and observations about the market of precious metals, numerous astute investors are sure that silver has the potential of greater returns in various markets. Although financial history dictates the instability of silver will lead for it to perform better than gold in terms of percentage on the upside but worse on the downside, industrial demand on silver can cause an increase in commodity prices and silver investments may thrive in this situation.

A number of investors declare that silver is not a monetary metal anymore because of its industrial uses and the IMF (International Metalworkers Federation-who track precious metals that nations hold) would agree with them as they care little about silver. Gold and silver have been used as money for more than a thousand years and people determine what should serve as currency of money. Money currencies have obvious flaws and when governments inflate money supplies the flaws become evident. Securing investments in gold and silver will allow individuals to have ‘fruits of labor’ even during hard economic times.

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The Gold and Silver Markets Continue to Survive in A Bad Economy

According to some experts, the U.S. economy will bounce back by 2010. Investors are still wary about the possibility of losing their investments in stocks and bonds. Even though gold and silver are considered to be more stable than stocks, investors are still very concerned.

Although the statistics are not very accurate, it is estimated that retail investments have an allocation in gold and silver at the most two percent. Since the “financial layman” barely has knowledge of the price of gold and silver in any market, a number of financial advisors and retail investors don’t have a reason why a person should choose gold or silver or how they would go about making an investment.

While gold has made a strong comeback, the US stock markets have less pressure again after a seven year low close on the Dow Jones. There is definitely a chance of panic when the stock market does poorly and has a negative effect on the worldwide economy, even thou gold and silver procured have produced sound foundations in the short, intermediate and long terms.

Desperate attempts by central banks and governments to delay deflation of currency are hindering the market, and even creating a worldwide crisis, while investors move to more tangible hard assets to protect their investments.

The non-specialized, sporadic media coverage of gold and silver hasn’t changed over the years, and remains indifferent almost negative with regard to financial conditions. The lack of coverage would indicate gold and silver are in the primary to middle stages of the bull market. “Gold fever” causes misconceptions in the commodities market. The fact is that just a small fraction of retail investors have an allocated interest in gold and silver, the overweight metals.

Lately, there have been misconceptions about gold. For example, many believe that gold is overvalued and many investors will experience a great lose. As a matter of fact, there has been polls taken that say numerous analysts are very optimistic about the gold and silver markets. These analysts remain positive toward gold and silver despite current worldwide economic and financial disasters.

Apprehensive analysts are usually stockbrokers, product sellers and others that have a vested interest in the negative outlook towards gold and silver. To find out further information about the gold and silver markets, search online for the latest news.