The price of gold has risen from US$ 256 to US$ 1473 an ounce in the last 10 years.
It is tipped to continue with a 50% gain in the next 3 years.
I'm expecting a no to this, but does anyone invest in gold as opposed to banks, b socs and shares ?
If anyone does what do you do ?
I mean you can't exactly have £50K of gold tucked under your bed can you ?
Ps I'm off out now for a beer, so continue your thoughts, if any, in my absence. Thanks
0
Comments
GOLD
All that said, investing in physical gold is a bit tricky for the smaller investor. If you want to buy bars, there's a mark-up to the seller that is pretty hefty at the smaller amounts. Buying coins (sovereigns, krugerrands etc) is also fraught with difficulty. The best way to go to invest in physical gold may be the specialised gold funds - check this link out.
Jr
There are loads of different ETFs but what you want is the ETF Physical Gold. You don't take delivery of anything. What you buy is effectively a "share" (you don't get a share certificate these days as its all electronic) but it is backed by real gold, physically held by HSBC (I think it is).
Take a look at www.etfsecurities.com
A big old war you say. Is there anywhere left in the world that the yanks are not at war with?
Bullionvault.com
two_sheds@loveandpeace.com
Or catch Mick Roberts in the Royal Oak
does anyone know somewhere I can flog a gold/diamond ring, and get a decent price? And not one of these dodgey envelope things or pawn broker?
ta
allways believe in...
spotted a place in welling high street, you lot aren't much use are ya...
I take my scrap bits down to Hatton Garden. You will get the real scrap prices there. But its worth remembering 9 carat is only 3/8 and 18 3/4 gold and so on, really you're only getting a fraction of the gold price.
Platinum was very good a couple of years back, £2000/ ounce at one stage... happy days with scrap
It peaked at @ $1781 & today it's down to $1403. Lower than when I originally asked.
Leroy have you still got Medusa ?
You possibly bought at 279 & when I asked they were 531. Now they're 199.
http://www.bullionbypost.co.uk/gold-price/3year/ounces/USD/
Mind you their growth was 7.7% in the first 3 months of 2013 :-).
It dropped 8% $113 per ounce on Monday. It was its biggest daily fall in dollar terms.
Luckily I decided not to buy, as I guessed rightly that the bull run wouldn't go on too much longer. Although of course it's all educated guesswork.
Prices of oil, silver,copper & aluminium also dropped.
Last week it was SocGen that declared the gold era was over. Now the precious metals team at Goldman is taking a similar view.
This is from their latest commodity research note:
Turn in gold prices accelerating; closing our long gold position
Given gold’s recent lackluster price action and our economists’ expectation that the acceleration in US growth later this year to above-trend pace will support US real rates, we are lowering our USD-denominated gold price forecast once again. Our new forecast is further below the forward curve with year-end targets of $1,450/toz in 2013 and $1,270/toz in 2014. As a result, we recommend closing the long COMEX gold position that we first initiated on October 11, 2010 for a potential gain of $219/toz, with the risk reversal overlay expired on March 25. Our long-term gold price forecast (2017+) remains at $1,200/toz: while higher inflation may be the catalyst for the next gold cycle, this is likely several years away.
Initiating a short COMEX gold position as our ECS Top Trade #8
While there are risks for modest near-term upside to gold prices should US growth continue to slow down, we see risks to current prices as skewed to the downside as we move through 2013. In fact, should our expectation for lower gold prices continue to prove correct, the fall in prices could end up being faster and larger than our forecast, as aggregate speculative net long positions across COMEX futures and gold ETFs remain near record highs. We therefore recommend initiating a short COMEX gold position as our ECS Top Trade #8, implemented through an S&P GSCI® front-month rolling index to further benefit from the contango in the COMEX future curve, targeting a move to $1,450/toz with a stop at $1,650/toz. While we may be end up too early in entering this trade, we prefer that to being late given our belief that the skew to current prices is to the downside.
The other interesting thing they note, is that despite the resurgence in euro area risk aversion, it’s pretty notable (if not remarkable) that gold prices have remained unchanged over that period, something which is pretty visible on the ETF level.
Indeed ETF gold holdings continue to decline quickly.
Of course, fundamentally - nothing has changed. The economy is still fucked, and one big capitulation in a eurozone economy will send the house of cards tumbling (and the POG rising) once again.