Daily Precious Metal Update

August 11, 2009 - Precious metal investments are losing a bit of value today, yet not significant enough to spark large-scale selling as many investors are eagerly awaiting direction from the United States Dollar Index and the Federal Reserve that may be creating a plan to increase interest rates by the end of the year. This has sparked a lot of speculation about growing inflation that typically skyrockets when governments increase interest rates during unstable economic times. The last time the United States underwent a similar scenario was in the late 1970’s when gold and silver spot prices in particular jumped up more than 800% in two years as safe haven precious metal investments dominated investing markets.

Gold Spot Price = $945.50 per ounce, decreasing $.10

Silver Spot Price = $14.33 per ounce, decreasing $.01

Platinum Spot Price = $1241 per ounce, decreasing $4.00

Several market analysts are forecasting that precious metal investments may thrive if the United States Dollar Index begins to show signs of significant inflationary pressure. As you may already know, there have been some very interesting bullish market projections in the past year, with some saying that gold could climb above and beyond $1500 per ounce while silver could climb above and beyond $25 per ounce. Although a bit speculative, these projections revolve around a significant loss of confidence with dollar-backed assets. This being said, it’s very important that you keep a very close eye on every aspect of the market in order to maximize investment potential with precious metals throughout the worst financial crisis we have seen since the Great Depression.

Daily Updates Archive

Danny Burns

Senior Staff Writer - Precious-Metal.org